A new dispute resolution body with legislation to establish the Australian Financial Complaints Authority (AFCA) has recently been passed in the Senate.
AFCA will commence operation in the second half of 2018 and will replace the existing Financial Ombudsman Service, Credit and Investments Ombudsman and the Superannuation Complaints Tribunal.
The Bill was passed with a number of minor amendments moved by the Government to provide additional certainty in relation to the handling of superannuation disputes, to review AFCA’s operations after a period of 18 months from its commencement, and to enshrine in legislation the requirement that the AFCA Chair be independent. These changes respond to key issues raised by stakeholders in submissions to the Senate Economics Legislation Committee and crossbench Senators.
The Bill will now move to the House of Representatives for final passage.
Source: The Commonwealth of Australia