Video: How dispute resolution works

Video about dispute resolution

Video transcript

If you are in financial difficulty and you are speaking to your lender and you ask for hardship assistance, and the person you are speaking to over the phone just says 'No', on the spot, then you may want to ask to go to the IDR team for internal dispute resolution. 

So that is in a way an independent review of that decision within the financial service provider. So it will be a new area, new people dealing with it. They may ask the same sort of questions again, and someone will have to provide further information.

They will then make their decision and then if they are not satisfied with that decision, that is when they would be referred to the external dispute resolution scheme and they would contact that organisation.

An external dispute resolution service is free. In most cases if you make a complaint early enough, it can stop enforcement proceedings.

We will ask questions and we will engage with people to uncover the information so it is not up to people having to put forward their case, so to speak.

The most important thing that we look for is not why you are in financial hardship so much. It is more how you expect to get out of financial hardship. And what period of time you think it will take and whether that is a realistic idea or not.

So we will try and figure out whether you situation is short term. Whether you can actually meet your proposal and whether there might actually be better options for you that you haven't yet considered.

The Code of Banking Practice provides that we will work with you to try to help you overcome your financial difficulties. Now that working with you is a two way process. So we want the financial service providers and the customers to be working together. And part of that is making what payments you can, even though you can't make the whole payment.


Related links

 

 


Last updated: 11 Oct 2016