There has been an important announcement from Australia’s corporate regulator. They have stated that a federal court order asked the ANZ Group Holdings to pay damages.
ANZ has to pay a penalty amount of $15 million in Australian dollars which comes to $9.63 million in American currency.
The regulator made this announcement on Tuesday. ANZ has to pay the penalty amount for taking actions to mislead customers regarding their available funds. They had apparently lied to the customers about their credit card accounts.
ANZ is a group of Australian lenders. It wrongly gave false information to the customers. According to their information, a consumer could withdraw cash advances from what they call ‘Available Funds’.
ANZ led consumers to believe that they could withdraw cash without having to pay extra fees and interest. This information is according to the statement from the Australian Securities & Investments Commission (ASIC).
This false information from Group Holdings led to customers paying hundreds and thousands in the form of fees.
According to the orders from federal court the average compensation amount paid was approximately $45 for each affected account.
The ASIC Deputy Chair Sarah Court has said “Many ANZ customers relied on the account information displayed by the bank and were charged fees that were inconsistent with that information.”
“The court found ANZ breached the ASIC Act and the National Consumer Credit Protection Act,” the regulator said in their official statement.
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