{"id":313509,"date":"2026-03-05T02:12:09","date_gmt":"2026-03-05T02:12:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/313509\/"},"modified":"2026-03-05T02:12:09","modified_gmt":"2026-03-05T02:12:09","slug":"asb-fined-2-1-million-for-misleading-more-than-25000-customers","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/313509\/","title":{"rendered":"ASB fined $2.1 million for misleading more than 25,000 customers"},"content":{"rendered":"

\u201cCustomers are entitled to rely on their bank to apply discounts and fee exemptions accurately. ASB failed to detect and address these issues over many years.\u201d<\/p>\n

\u201cWe acknowledge ASB\u2019s co-operation, however, the duration of the failings and the delays in identifying and escalating the issues meant that a strong regulatory response was necessary.\u201d<\/p>\n

Justice Laura O\u2019Gorman said: \u201cWhere contraventions of the Financial Markets Conduct Act (FMCA) are the result of process or system failures, the penalty must be set at a level that creates a strong incentive for financial institutions to maintain adequate systems and processes.<\/p>\n

\u201cThe penalty needs to be at a level that clearly signals manual processes without adequate quality assurance and proactive problem detection and escalation is unacceptable.\u201d<\/p>\n

ASB made $1.45 billion in profit<\/a> in the 12 months to June 2025, a dip of 0.4% on the previous year.<\/p>\n

The bank said it had set aside A$33m ($36.18m) in customer \u201cremediation provisions\u201d.<\/p>\n

ASB chief executive Vittoria Shortt declined to elaborate on why the bank had put money aside to potentially reimburse customers for a mistake, or various mistakes, the bank has made. <\/p>\n

She said it was standard practice for the bank to notify regulators if it believed there was a breach, before looking to rectify the issue and pay out customers.<\/p>\n","protected":false},"excerpt":{"rendered":"\u201cCustomers are entitled to rely on their bank to apply discounts and fee exemptions accurately. ASB failed to…\n","protected":false},"author":2,"featured_media":313510,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[652,8990,25286,1558,4381,1644,19631,2082,11521,42,1132,12936,130,43,112273,95584,131,1361,40,38,41,39],"class_list":["post-313509","post","type-post","status-publish","format-standard","has-post-thumbnail","category-headlines","tag-652","tag-8990","tag-asb","tag-been","tag-customers","tag-financial","tag-fined","tag-for","tag-harm","tag-headlines","tag-million","tag-misleading","tag-more","tag-news","tag-representations","tag-resulted","tag-than","tag-that","tag-top-news","tag-top-stories","tag-topnews","tag-topstories"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/313509","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=313509"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/313509\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/313510"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=313509"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=313509"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=313509"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}