Australian banks unveil measures to boost consumer confidence
[SYDNEY] Australia's biggest banks on Thursday announced measures to protect consumers and increase transparency following a series of revelations about misconduct and ahead of a federal election set to be fought partly over calls for tougher sector oversight.
The package includes reviewing product sales commissions, supporting whistle-blower employees and removing individuals from the industry for poor conduct, the Australian Bankers Association (ABA) said in a statement.
"This plan delivers immediate action to make it easier for customers to do business with banks, including when things go wrong," ABA chief executive Steven Munchenberg said in a statement.
The plan, parts of which are subject to regulatory approval or legislative reform, would be overseen by an independent expert.
Australia's four major lenders - National Australia Bank , Commonwealth Bank, Westpac and ANZ Banking Group - rode out the 2008 financial crisis with barely a scratch, but are now facing mounting criticism over alleged misconduct including rate rigging and insurance scams.
Political pressure is piling on Prime Minister Malcolm Turnbull to order a sector-wide inquiry into bank conduct as he campaigns for a federal election in July.
The government announced reforms to the markets watchdog on Wednesday, aiming to head off malfeasance at financial institutions before it occurs.
REUTERS
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Banking & Finance
Great Eastern chairman appeals for patience as shareholders fume over share price ‘disaster’
S&P Global first-quarter profit beats estimates on strong product demand
Thai banks cut rate for some borrowers after push from PM
Money laundering accused who faces 22 charges to plead guilty on May 14
BNP Paribas beats estimates as lower costs offset trading slump
Japan brokerage Daiwa’s Q4 profit more than doubles as markets recover