External dispute resolution and complaints framework

On 9 May the Government accepted all 11 recommendations of the Review of the financial system external dispute resolution and complaints framework (the Ramsay Review). These recommendations include the establishment of a one-stop shop for all financial disputes, including superannuation disputes. The Government’s response can be found on the Treasurers website and the Final report can be found here.

The Government is now releasing the new dispute resolution framework for four weeks of public consultation. This includes the Treasury Laws Amendment (External Dispute Resolution) Bill 2017 and Treasury Laws Amendment (External Dispute Resolution) Regulations 2017.

In addition, the Government is also releasing a consultation paper to seek additional feedback on a range of matters, including whether the compensation caps for certain financial products, such as mortgages and general insurance products, should move immediately to $1 million upon commencement of the new one stop shop. The Government is also seeking stakeholder feedback on the implications of removing the requirement for credit representatives to be members of the new one-stop shop.

For more information (click here).

Source: The Commonwealth of Australia