The Australian Financial Complaints Authority (AFCA) has released a consultation paper on proposed changes to its Scheme Rules to enable it to consider scam-related complaints under the Scams Prevention Framework (SPF) from 31 March 2027. Background.
The Australian Government has authorised AFCA as the single external dispute resolution scheme to consider scam-related complaints under the SPF about regulated entities under the first three designated SPF sectors; banking, digital platforms and telecommunications.
Consumers who have been impacted by a scam are expected to first raise their concerns directly with the relevant regulated entity through Internal Dispute Resolution. The SPF Codes and Rules are not settled; however, the Government has proposed that regulated entities will be required to co-operate at IDR and that consumers will have the right to escalate a complaint to AFCA if they are unsatisfied with the outcome.
The AFCA Scheme Rules will be organised into separate divisions. These comprise the new Rules that will apply specifically to SPF complaints (the Scam Rules) and the existing Rules for financial services complaints, the Financial Firm Rules.
Some complaints may raise issues across the SPF and other laws (including financial services laws and telecommunications codes). AFCA will determine the most appropriate process to manage them, while maintaining the distinct legal responsibilities under each framework.
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Author: David Jacobson
Principal, Bright Corporate Law
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About David Jacobson
The information contained in this article is not legal advice. It is not to be relied upon as a full statement of the law. You should seek professional advice for your specific needs and circumstances before acting or relying on any of the content.
