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BT to refund wrap customers

BT Financial Group has announced it will refund some Wrap and SuperWrap customers found to be paying excess adviser fees, having self-reported the matter to the corporate regulator.

A statement from the Australian Securities and Investments Commission said that BTFG discovered “some of its platform customers have been paying adviser fees in excess of disclosed percentage ranges” and that in some cases, “there was confusion around whether the percentage ranges disclosed represented the maximum adviser fees that could have been charged”.

While ASIC Commissioner Greg Tanzer reiterated the importance of giving consumers confidence in their financial institutions, he praised BT’s compliance with reporting procedures.

“One of ASIC's priorities is to work to ensure consumers can have confidence in their financial institutions. It is important financial services companies charge customers the fees they have advertised and disclosed, and where this hasn't occurred, we expect errors to be swiftly rectified.

“We have also written to all platform operators to remind them of their significant breach reporting obligations.

"ASIC acknowledges the cooperative approach taken by BT in this matter."