CBA, ANZ sued in New Zealand

Two of Australia’s big banks are facing a multi-million dollar claim in New Zealand. More than 150,000 customers were not refunded, the interest and fee charged after an alleged breach in disclosing changes to loan agreements. The class-action lawsuit said that Kiwi units of Commonwealth Bank of Australia and Australia and New Zealand Banking Group did not clearly inform customers a change in some terms of home and personal loans.

Solicitor Scott Russell of Russell Legal, the law firm that has filed the case said that the banks’ failures to refund their customers constitute serious breaches of the provisions of the Credit Contracts and Consumer Finance Act 2003. Australian banks and financial institutions have been attacked by several lawsuits. Millions worth crime has to be settled, since a Royal Commission inquiry had found a widespread mismanagement in the sector. ANZ said that it would defend the resolution. The spokesperson stated that ANZ considers that they have fairly remediated their customers and the matter has already been subject to regulatory oversight and resolution.

ANZ customers who took a loan between May 30, 2015 and May 28, 2016 may be eligible to participate in the claim. And then, the customers of CBA-owned ASB Bank who borrowed between June 6, 2015 and June 18, 2019 can also be plaintiffs. Australia-based litigation funder CASL and New Zealand’s LPF Group, has funded this case.