Just got an email from Choice about: “Right now, CHOICE experts are ranking how each of the big four banks have treated people doing it tough throughout the COVID-19 crisis”. @Brendan I’m wondering why only the “big four” are being looked at. Choice has always been about enabling people to become informed about their consumer choices, not just the brands that spend mega bucks on advertising. Whilst I recognise the limited resources Choice has, I’m interested in our community becoming better informed to make wise choices. It’s not easy to trust banks. We need information to step beyond those we are familiar with.
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While the focus is on the Big Four, we agree the problem with high credit card rates goes beyond this. Thanks for your interest and support @Hillsgal, I’ll make sure our campaigns team also receives your comment.
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It’s a fair question - at quick glance, perhaps that there are roughly 50 banks and building societies (including subsidiaries), around 80 credit unions, more than a dozen friendly societies and a smattering of foreign subsidiary banks that ‘do consumer’ - where would one draw the line? That starts to look like a fairly big list … While I’m sure the ‘big four’ would account for the lion’s share of customers, I’d reckon the others are still significant in their customer base. It would be interesting to see the breakdown of market share of all these including some way of quantifying the overlap where customers had more than one financial institution.
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This is complicated too because there are many ways of measuring the market share of the Big Four e.g.
- total credit value outstanding (mortgages, personal loans, credit cards)
- funds under deposit (assumed to be very similar to the previous)
- funds under management (for investment products)
- insurance premiums (for insurance products)
- number of customers (for whatever products are relevant in the context)
- number of accounts (ditto)
However for the specific question above: number of credit card customers / number of credit cards / credit card balance outstanding (transactors) / credit card balance outstanding (people who pay interest).
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The 45,000+ customers in the Slater & Gordon class action finally get their compensation payments.
I had to love this part in the article.
'At the time, NAB’s Chief Legal and Commercial Counsel Sharon Cook said the bank was happy to have resolved the issue for affected customers.
“We are pleased with the Federal Court’s decision and to be able to resolve this matter for our customers and shareholders,” Ms Cook said in May.
“As we have acknowledged, it is important to resolve past issues so that we can rebuild trust with our customers and the community.” ’
And if anyone is actually gullible enough to believe that garbage, then I have thie really big bridge for sale, really cheap.
And now for the other Three Amigos turn to pay up.
Hopefully it will not be like the demise of the former South Johnstone Co-operative Sugar Mill when the canegrower shareholders launched a class action throught the second largest law firm in FNQ, and despite winning their case, the growers on average received the princely sum of around $14 each.
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One part of it is true … any business would be keen to have unquantified liabilities off the books. So it is good for the business and good for the shareholders.
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On unqualified liabilities CBA (Colonial First State CFS) finally decided it owed one of our deceased family member’s estates a refund. All for having charged fees for financial advisors after the member had passed away. The sum was less than $100. Payment may be some time off.
Enquires were made 7 years ago re the fee for no service. Neither the solicitor assisting with the estate settlement nor CFS offered any comfort at the time. Both considered the fee normal business. It’s a cheap get out of jail after 7 years, more so for the CFS/CBA. The same fees had been consistently charged every quarter for more than ten years prior. All with no service provided. It’s too far back with the key witnesses no longer available. Should any of us be surprised?
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Shine Lawyers is planning to launch a class action against Westpac over rip-off car loans.
Bring it on.
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AMP may face another inquiry into ripping-off their financial planners.
With friends like AMP, who needs enemies?
Perhaps it is time to hide all your money undre the matress?
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From reading that article it seems the political aim of uncertainty was met with flying colours. One says no it can’t happen, the next says it can, of course those saying it can’t happen are those who are either the Industry who will benefit of the Govt Agencies tasked with doing it the other side seem to be those who will be affected if it ever happens.
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You can at least reduce your risk by spreading deposits across multiple institutions.
The fear about legislative loopholes initially surfaced following the GFC
The Cash Ban bill has added to the concerns about this. At the time, the government dismissed all the concerns about that bill as an organised campaign by the CEC. (Typical government rubbish of shooting the messenger.)
(I am not affiliated with the CEC in any way and never have been.)
For these citizens, in the aftermath of the banking royal commission, verbal assurances from APRA, the Reserve Bank of Australia and political leaders just aren’t enough.
If it is never intended that the contentious wording in the legislation have the effect that some people are concerned about then it shouldn’t be a problem to clarify the wording and eliminate that possibility explicitly. Right?
At a time when public confidence is already a bit shaky (we are probably already in a technical recession although that hasn’t been officially determined yet), surely government would err on the side of caution with its legislation?
And another says it should:
some argue the Bill should be changed to do the exact opposite: the Banking Act should make it explicit that bank deposits are at some risk of write-off or conversion to shares
I’m holding out for the interest rates on loans to go negative. We are nearly there with bank deposit interest rates. 
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Medibank fined $5 million for misleading conducy.
I expect that the compensated member really will be signing “I feel better now”.
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An article regarding the largest workcover insurers.
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Another article regarding fraudlent practices with workcover insurance.
Corrections Victoria is also rotten to the core with bullying, discrimmination and neoptism being the modus operandi.
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CBA and BT to also get a class action guernsey along with AMP courtesy of Shine Lawyers.
The Banking Royal Commission, the gift that keeps on giving.
Choice gives the banks another serve.
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Short term thinking? The greater the number of Aussies who go to the wall, so to speak due to the banks, the fewer they will have to profit from in the future. Is it always better to have shares long term in a bank than cash deposits? History has one answer.
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ASIC issues guidance regarding the end of bank loans deferred due to coronavirus.
I loved this part. 'The overriding legal principle is that “lenders must do all things necessary to ensure that the credit activities authorised by their licence are engaged in efficiently, honestly and fairly.” ’
Not quite sure which planet these banks are on as it certainly isn’t this one.
