Chapter 5 of the Interim Report – Bankwest and CBA – set out my conclusions about complaints that have been made regarding CBA’s conduct in respect of customers who had borrowed from Bankwest before CBA acquired Bankwest in 2008. I Read More …
Category: Banking
Conclusion
This chapter has dealt with ‘traditional’ banking services. It has not dealt with issues arising in connection with financial advice, superannuation or insurance and has not considered the larger questions of culture, governance and remuneration examined in later parts of Read More …
7.2 Preventing processing and administrative errors
Recognising, as I must, that no systems for processing the numbers of transactions or variety of arrangements offered by banks will ever operate perfectly, does not mean that there is nothing to be done except sweep up the consequences after Read More …
7.1 Identifying processing and administrative errors
The case studies revealed numerous cases where banks charged fees or interest in amounts larger than agreed because of what were called ‘processing’ or ‘administrative’ errors. Often the errors went undetected for some time. Often identification of who had been Read More …
7 Processing and administrative errors
6.4 The proposed model: Codes more broadly
As noted above, in setting out this model for enforceable code provisions, I do not intend to interfere with the broader development of, or operation of, industry codes. Nor do I intend to modify or limit ASIC’s powers to approve Read More …
6.3 Identifying the enforceable code provisions
In my view, the law[1] should be amended to provide that breach of an enforceable code provision will constitute a breach of the law. The law should also be amended to provide for remedies that may follow from such a Read More …
6.2 The purpose of industry codes
Industry codes of practice occupy an unusual place in the prescription of generally applicable norms of behaviour. They are offered as a form of ‘self‑regulation’ by which industry participants ‘set standards on how to comply with, and exceed, various aspects Read More …
6.1 Enforcing the code
As I explained in the introduction to this Report, I consider it important that some provisions of industry codes be picked up and applied as law, so that breaches of those provisions will constitute a breach of the law. The Read More …
6 Enforceability of industry codes
I deal next with the enforceability of industry codes, and I do so by reference principally to the 2019 Banking Code.