Banking tribunal “not needed”

The Government’s plan to introduce a low-cost banking tribunal to investigate the poor financial practices of Australia’s largest banks has been quashed, after an ‘expert review’ found it was not needed.

Prime Minister Malcolm Turnbull announced the tribunal in October, in response to growing pressure from Labor for a royal commission, as well as calls from members for a new consumer-focused tribunal.

The review of dispute resolution in the financial services sector is being led by Melbourne University commercial law professor Ian Ramsay. An interim report has found that a new tribunal is not needed and recommends a move away from tribunal structures.

Appearing on ABC Radio, Financial Services Minister Kelly O’Dwyer said that the Government’s focus was now on providing consumers with a single place for dispute resolution.

“When the Prime Minister was talking about a ‘tribunal’ he was talking about a ‘small-T’ tribunal, which was a catch-all for having a one-stop consumer complaints stop,” she said.

“One is far more legalistic, which means it is probably less consumer-friendly and that is a ‘Big-T’ tribunal.

“That makes it more difficult for consumers to engage, which is what the report has found,” she said.

What do you think? Is the review correct in quashing the new tribunal before it is implemented? Do we need a royal commission into the banking sector?

Read more at The Sydney Morning Herald.

Written by Drew

Starting out as a week of work experience in 2005 while studying his Bachelor of Business at Swinburne University, Drew has never left his post and has been with the company ever since, working on the websites digital needs. Drew has a passion for all things technology which is only rivalled for his love of all things sport (watching, not playing).
Contact:
LinkedIn
Email

RELATED LINKS

Banks cashing in on ‘lazy’ customers

Only 40 Australians per week actually make the move and switch banks.

Malcolm Turnbull’s “toothless tiger”

What would happen if the big four banks controlled your super?

Savers ‘fooled’ over interest rates

Much-trumpeted August increase in term deposit rates have now been reversed.



SPONSORED LINKS

LOADING MORE ARTICLE...