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Make a formal complaint if you are not happy with how your complaint is being handled Picture: Stock Source: Supplied
Each year about 100,000 Aussies lodge complaints about money issues including credit cards, banking, advice, superannuation, insurance and investments.
Knowing how and who to complain to will not only cut the stress levels but also save you money by getting the problem fixed faster.
WHAT CAN YOU COMPLAIN ABOUT
Money complaints come in all shapes and sizes so the first place to start is the government’s consumer website MoneySmart. It includes a list of disputes and examples of common complaints people have with financial organisations and products.
In most cases the issues will involve a financial loss, however, bad service or shoddy treatment are also common areas for complaint. Note, however, that most formal complaint services can only deal with issues up to $500,000.
WHO TO COMPLAIN TO
Most financial organisations are members of a formal complaint service, however, at any time you can also lodge a dispute with one of the government agencies, the police or take direct legal action.
Some of the most high profile complaint services include:
— Financial Ombudsman Service
— Superannuation Complaints Tribunal
— Financial Planning Association
— Credit Ombudsman Service
These are not government organisations but services operated for their members, the financial organisations that jointly fund them.
The main government agencies include:
— Australian Securities and Investments Commission (ASIC) which operates the MoneySmart website.
— Australian Consumer and Competition Commission (ACCC).
— Consumer affairs, each state government operates a consumer affairs department.
If you’re not sure who to approach, speak to a free counsellor at Financial Counselling Australia to discuss the options.
HOW TO LODGE A COMPLAINT
According to MoneySmart there are only a few simple steps to make a complaint:
Step 1
Contact the business or organisation by phone, in person or in writing, detail the issue and say how you want it fixed. Make a note of who you speak with, the date and time. If the issue is resolved, ask for confirmation in writing and the action to be taken by a certain date.
Step 2
If your initial contact does not fix the problem, ask for the details of their internal complaints procedure or look it up on their website. In most cases this will involve writing to the company, including copies of any documents (keep originals). Expect a formal response within three weeks, usually advising of the progress.
Step 3
If you are not happy with the response or there is no progress, contact the formal complaint service for the type of business involved. As part of license requirements all financial service organisations must be members of an external complaints service. Most of these services will not accept a dispute unless you have first tried to resolve it with the organisation. Each service has a slightly different procedure, it’s website or call centre will explain the process and any supporting information you need to supply. Complaints must also be lodged within certain time limits of the event or becoming aware of it. These services are free to consumers.
Step 4
The external complaints service, also called a tribunal or ombudsman, will make a recommendation or a decision about your issue. In most cases, you must agree with the decision before it becomes binding on the company. If you do not agree or are not happy with the decision you can lodge a dispute with a government agency or take the matter to court.
TOP TIPS
1. Get your thoughts organised and have any documents ready before you first contact the organisation. Ask for the name of the most senior person involved in that area of the business and address your complaint to that person.
2. Make notes of all times, dates and phone discussions. If possible keep all correspondence in writing such as emails or letters. MoneySmart also has examples of what to include in a complaint letter.
3. Take copies of all letters, documents and notes and keep originals.
4. At any point, if you do not understand anything, say so. Ask for another explanation or more details so you can understand. All organisations also have translation services.