Outrage is growing at Commonwealth Bank's refusal to refund $270 million in excessive account fees the bank charged to low income customers over a period of five years.
Between 2019 and 2024, CBA raked in hundreds of millions in account keeping fees, overdraw charges and dishonour fees charged to people who were receiving Centrelink payments from the government.
The Australian Securities and Investments Commission (ASIC) says these customers should have been moved into fee-free or low-fee accounts and have called out CBA for refusing to refund them. Other banks caught out charging unfair fees by the regulator have agreed to repay the money to some customers.
"These fees clearly don't pass the pub test. It's not acceptable in the community or in the eyes of ASIC for people who are on low incomes to be charged fees that are not right for them," says ASIC Commissioner Alan Kirkland.
CBA has said it will make some "goodwill payments" but insisted the fees charged were properly disclosed to customers.
CHOICE petition shows community outrage
CHOICE has launched a petition calling on CBA to do the right thing by its customers and refund the unfair fees.
"These are some of the most financially vulnerable people and the least able to afford to line the bank's pockets," says CHOICE deputy director of campaigns, Andy Kelly.
"People are rightly outraged by yet another bank scandal that CBA is refusing to make right."
People have had enough of banks getting away with treating people so poorly
Andy Kelly, CHOICE director of campaigns
In just over a week the petition has gathered over 19,000 signatures, something Kelly says shows the broad sentiment in the community about this issue.
"The support for this campaign has been overwhelming, from people who say they've been affected, to CBA customers more broadly, to financial counsellors. People have had enough of banks getting away with treating people so poorly," he says.
"CBA celebrated a $5.1 billion half-year profit in February. There's no reason why they can't refund customers. It's the right thing to do."
Sign the petition at choice.com.au/CommBankFees, or use the form below.
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