The Australian Securities and Investments Commission (ASIC) has revealed that six of Australia’s largest banking and financial services institutions have paid or offered a total of $1.24 billion in compensation, as at 31 December 2020, to customers who suffered loss or detriment because of fees for no service misconduct or non-compliant advice.
This is an additional $193.6 million in compensation payments or offers by the institutions from 1 July to 31 December 2020.
AMP, ANZ, CBA, Macquarie, NAB and Westpac (the institutions) undertook the review and remediation programs to compensate affected customers as a result of two major ASIC reviews commenced the reviews in 2015.
The table below provides a breakdown of the compensation payments made or offered by the institution as at 31 December 2020.
|Institution||Fees for no service misconduct||Non-compliant advice [iii]|
|Compensation paid or offered||No. of customers paid or offered compensation||Compensation paid||No. of customers paid compensation|