It has been a year since Commonwealth Bank chief executive Ian Narev opened the scheme, which aims to compensate victims who lost money via its financial planning arm.
Since then, more than 22,000 customers have expressed an interest, with around 7,000 confirming they would like their financial advice reviewed.
However, a CBA spokesperson told ifa that customers may not see their claims resolved this year.
“We expect it will take all of this year and most of 2016 to complete the assessments,” the spokesperson said.
“We know from our experience, and ASIC reviews of our past remediation processes, the importance of putting in place an approach that is well planned, rigorous and fair.”
The spokesperson said the remediation payments would take into account the time taken to complete the assessment.
According to the bank, at the end of April 2015 it had offered more than $500,000 in compensation to registered clients.
Promontory Financial Group was appointed as the independent expert overseeing the Open Advice Review program. Promontory delivers reports every four months on how the program is developing, the systems and processes being implemented and details all activity within the program.
Its most recent report was released on 29 May 2015.
They have paid 50 times that amount to their executives that covered this up to walk away quietly than the actual victims.
Meanwhile we deal with Opt In, FDS, Ongoing adviser agreements, reduced commissions and a slow death.
Unlike Macquarie, at least CBA has the right intent to remediate its clients.
Macquarie will fight you all the way as it self insures and has a vested interest in ensuring that minimal payments are made to clients – remember all of Macquarie’s management are on profit share – the less they pay out – the greater the profit which leads to a greater bonus.
What they then tell everyone is how great they are as there were hardly any payouts
I don’t understand how ASIC allows this!
Why do we get the blame for everything when it is patently clear that in most cases it is the product providers who are the problem. Corrupt in the their client dealings and corrupt in the whole fiasco that is FSC, Trowbridge etc
Yet we must pay….