In it’s first four years of operation the Australian Financial Complaints Authority (AFCA) received more than 300,000 complaints.
As a result, consumers received nearly $900 million in compensation and refunds.
AFCA’s dispute resolution services are free for consumers and small businesses, and was created as a more affordable and efficient alternative to court.
Over its first four years, AFCA identified and reported 227 definite systematic issues and severe contraventions of the law to federal regulators and resolved 60 per cent of cases in less than 60 days.
It also helped around 5000 victims of over weather-related natural disasters and more than 24,000 people with financial difficulty.
More than 17,000 COVID-19-related disputes involving financial products such as travel insurance and early release of super amid the pandemic were registered in that time.
Last year there was a rise in insurance complaints, with the top four insurers accounting for around 9400 complaints, up 19% from the previous financial year. Many of these complaints were flood-related issues.
“The past four years have demonstrated the critical role AFCA plays,” said AFCA CEO and chief ombudsman David Locke. “As we move into a period of heightened economic uncertainty and amid increasing natural disasters, the need for AFCA’s services has never been greater.
“As long as the outcomes are fair and just, we think [that] early resolution is good for everyone.
“For [the] industry, it means retaining customers’ business and goodwill. For consumers, the sooner a matter is resolved, the better, because financial disputes can be very stressful.”
Which businesses or services have out you out in the last four years? Did you report them to ACFA? If you could complain about any business or service right now, who/what would it be?
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