- ANZ Banking Group (ANZ) has been sued by law firm Phi Finney McDonald on behalf of customers who they believe were wrongly charged credit card fees
- The law firm claimed ANZ credit card users were charged interest on purchases they repaid on time between July 2010 and January 2019
- The firm laid down allegations in federal court today but have not yet decided the damages
- In response, ANZ said it acknowledges the allegations, and that the bank will “review the claim and will provide any updates as required”
- Shares in ANZ have traded steady, dropping 0.22 per cent to $26.64 by end of trading
ANZ Banking Group (ANZ) has been sued by law firm Phi Finney McDonald for allegedly charging interest on some purchases by customers that should have been interest-free.
The law firm alleged ANZ credit card users were charged interest on purchases they repaid on time between July 2010 and January 2019.
It is the bank’s second lawsuit in less than a week, after a claim brought by the Australian Securities and Investments Commission (ASIC) against the country’s third-largest lender for Credit Act violations stemming from referrals through its home loan ‘introducer program’.
The new class action suit alleged “unfair contract terms and unconscionable conduct” by the bank.
Phi Finney McDonald laid down allegations in federal court today but have not yet decided the damages.
“The terms of ANZ’s contract made it impossible for a typical consumer to understand that they would be charged retrospective interest, even on purchases which they repaid on time,” the law firm said.
Retrospective interest charges have been banned in Australia since January 2019.
In response, ANZ said it acknowledges the allegations, and that the bank will “review the claim and will provide any updates as required”.
Banking breaches
Last week, ASIC filed a lawsuit against ANZ for breaches arising from referrals through its home loan ‘introducer program’ and from unlicensed individuals outside the program.
ASIC Deputy Chair Sarah Court expressed concern that as a result of this activity, which involved cleaners and real estate representatives directing applications to ANZ, some home loans may have been issued on false information and some clients may have accepted loans that they could not pay.
Today’s class action against ANZ follows on from yesterday’s lawsuit brought on by ASIC against Westpac for charging 11,000 deceased customers for financial advice, among five other allegations.
Shares in ANZ have traded steady, dropping 0.22 per cent to $26.64 by end of trading.