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Class action filed against ANZ
A class action has been filed in the Federal Court against ANZ after the big four bank allegedly charged consumers interest on interest-free credit cards.
Lauren Croft
The class action, filed this week by Phi Finney McDonald, is being brought on behalf of ANZ “interest-free” credit cardholders who paid interest during the period from 1 July 2010 to 1 January 2019.
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According to a statement from Phi Finney McDonald, “the alleged misconduct by ANZ harmed everyday consumers by charging interest on purchase that they repaid in a timely manner and retroactively charging them interest on what had previously been interest-free purchases”.
“The claim alleges that the manner in which the ANZ charged interest also made it impossible for the typical credit card holder to understand the way interest would be calculated and how much interest would be charged,” the firm stated.
“Charging retrospective interest on credit cards with an interest-free period has been outlawed by Parliament since 1 January 2019 through amendment of the National Consumer Credit Protection Act 2019 by the Treasury Laws Amendment (Banking Measures No. 1) Bill 2018.”
The proceeding is being backed by Woodsford Litigation Funding and accuses ANZ of constituting “an unfair term and unconscionable conduct” under the Australian Securities and Investments Commission Act 2001.
ANZ acknowledged that the class action was filed in a statement issued on Wednesday (1 December).
“The class action is understood to allege that ANZ’s credit card contracts were unfair, and contravened the Australian Securities and Investments Commission Act,” the bank stated.
“ANZ will review the claim and will provide any update as required.”
