Results - Corporate Responsibility

Customer Advocate contacts

In 2009 the Customer Advocate received approximately 860 email contacts from customers seeking a review (compared to 456 in 2008). The majority were referred to the Customer Resolution Team (CRT) or Mortgage Problem Resolution (MPR) for review. These teams conduct investigations of complex complaints which are not able to be completed within the 48 hour timeline set by the Customer Charter for the majority of complaints.

The Customer Advocate advises the customer in writing of the internal complaints procedure and the ability to return to the Customer Advocate for further review. This process confirms to the customer that ANZ is committed to a fair and reasonable outcome.

Breakdown of completed matters

Complaints by business unit are as follows: Mortgages (44%) Banking Products (15%) Consumer Finance (14%), Financial Planning (7%), Private Bank, ING, Trustees and Wealth (3.5%), Other(10%) – this category includes 4 breach of Privacy complaints and 4 Margin Lending complaints.

Resolution outcomes show 21.5% of findings solely in favour of the customer; 48% of findings in favour of both the customer and the bank and 30%% solely in favour of the bank. Offers of compensation to customers totaled $751,595.

Of this amount $235,000 related to two Storm Financial Services complaints;$189,000 related to Early Repayment Costs (40 with waivers of $1,000 plus three customers with total ERC waived); $140,457 related to three claims of poor financial advice; one payment of $70,000 had been decided by Risk and Compliance and was confirmed by the Customer Advocate.

The number of files completed within 20 days has improved from 65% in 2008 to 80% in 2009. These complaints are complex most often because of the persistence of the customer and refusal to accept a resolution. They require time to gather and assess further information from the customer and ANZ and to negotiate outcomes.

* Includes a reimbursement offer of $76,000.00 confirmed by the Customer Advocate and an offer of USD$2,314.97
** Additional reimbursement of 296,864 Frequent Flyer points
# Includes two separate offers of $70,000.00 and $50,000.00
## Includes 4 Privacy and 4 Margin Lending complaints
^ Includes offer of USD$2,314.97 and an additional reimbursement of 296,864 Frequent Flyer points

The Customer Advocate is an advocate for a fair and reasonable outcome for the customer. The aim is to resolve complaints quickly, impartially and without the need for external review. The Customer Advocate completed 100 formal reviews, an increase of about one-third on the previous year. Five reviews remained uncompleted at 1 October 2008.

The number of files completed within 20 days has improved from 50% in 2007 to 65% in 2008. These complaints can be complex and require time to gather and assess further information from the customer and ANZ and to negotiate outcomes.

In the review process the Customer Advocate listens to the customer, meeting with them if necessary, records concerns and closely reviews the facts including making further investigations if required. The Customer Advocate then negotiates an outcome with the customer and the relevant ANZ business unit and makes recommendations to prevent further complaints and improve service or products. Customer concerns can give the business valuable insights into their performance and service which will prevent more major issues arising.

For example, a review of procedures for personal loan approvals in remote areas has been initiated following a complaint from a legal service that a client had entered into a credit facility without fully understanding the contract and without the ability to service the loan. The customer gained a satisfactory outcome. When completed, the review will recommend refinements to bank policy and procedures to further protect vulnerable customers in these areas.

The Customer Advocate can act as an 'appeals' mechanism for customers dissatisfied with the result of their initial complaint or can intervene in difficult or potentially controversial complaints at an earlier stage, either through direct contact from a customer or at the request of ANZ staff who need advice on options for resolving or avoiding complaints.

* Includes offer not accepted.
** Includes offer of $46,000 not accepted. Actual total $70,961.76.

The Customer Advocate office received approximately 456 email contacts from customers seeking a review. The majority of these issues are referred to specialist areas for resolution in the first instance. The customer is always advised in writing when their complaint has been referred and is offered the opportunity to return to the Customer Advocate for further review if they are not satisfied by the outcome of their complaint.