“We maintain that the potential consequences under the High Court’s interpretation of the law are disproportionate and not aligned with the purpose of the CCCFA or any actual harm caused.”
A coding error in one of ANZ’s systems between 2015 and 2016 meant loan variation letters sent to about 17,000 customers contained incorrect repayment information.
ANZ said the error meant customers underpaid their mortgages by $2 on average each month.
While ANZ reported the issue to the Commerce Commission and paid customers more than $35 million to rectify the mistake, the issue before the court was whether ANZ was required to reimburse customers for their costs of borrowing, including interest, paid during the period of the breach.
Justice Geoffrey Venning ruled the representative plaintiffs were not liable for the costs of borrowing on their loan during that period.
The bank estimates its maximum potential liability from the High Court decision at about $125m.