AFCA is the Australian Financial Complaints Authority – it is a free, fair and independent dispute resolution scheme. They consider complaints about financial products and services and are there to offer an alternative to tribunals and courts to resolve complaints consumers have with their financial firms.

They consider complaints about:

• Credit Finance and Loans
• Insurance
• Banking deposits and payments
• Investments and financial advice
• Superannuation

AFCA’s role is to assist consumers and small businesses to reach agreements with financial firms about how to resolve their complaints. They are impartial and independent. They do not act for either party to advocate their position. If a complaint does not resolve between the parties they will decide an appropriate outcome.

Decisions AFCA make can be binding on the financial firm involved in a complaint. They can award compensation for losses suffered because of a financial firm’s error or inappropriate conduct. There are other remedies that they can also provide for Superannuation complaints. They do not, however, award compensation to punish firms or impose fines.

AFCA is not a government department, and they are not a regulator of the industry. They are a non-profit with representatives from the industry and consumers. AFCA’s Chief Ombudsman is responsible for overall management.

While AFCA is there to assist, always remember that in the first instance if you have an issue or complaint with any financial provider your first step is to contact them directly with your issue. You should be able to resolve your issue without needing the assistance of AFCA.