In July, National Australia Bank said it would repay 62,000 customers of its wealth division $25 million after short-changing clients. CBA's AgriAdvantage problems come as the bank works through its compensation program for clients of its financial planning arms. So far, only 19 of the 8835 customers who have requested their files be reviewed have been compensated by CBA for receiving poor financial advice. The bank had also compensated 1100 customers who were victims of rogue planners, paying out $52 million. ASIC says CBA has advised the regulator of "its intention to undertake an investigation, engage an independent expert to review its remediation process to ensure an accurate calculation of refunds, and refund all affected customers". ASIC did not detail how long it would take CBA's AgriAdvantage customers to receive bank compensation. It is believed that the bank hopes to complete reimbursements by the end of next month. "Where errors occur, it is important that they be rectified promptly and appropriately. That includes restoring consumers to the position they should have been had the breach not occurred," ASIC deputy chairman Peter Kell said.
ASIC (CBA) is to refund AUD 7.6m ($5.5m) to around 8,400 customers, after it failed to apply fee waivers and benefits to one of its agribusiness products for a number of years. This error came to light when the bank revealed it to the Australian Securities and Investments Commission (The Commonwealth Bank of Australia) in 2014, as part of its reporting obligations in the Corporations Act.