AFCA IDR deadline extension approaching
Firms have only a few days left to provide responses to financial difficulty complaints for internal dispute resolution (IDR) as the extension to the complaints process set by the Australian Financial Complaints Authority (AFCA) will end on 1 November, 2020.
A six-month temporary extension was previously granted in April to allow firms to provide responses to complaints of financial difficulty or for those which had been through internal dispute resolution from 21 days to 30 days. This was to allow a more flexible approach for both parties in light of the COVID-19 disruption.
From 31 October, this would revert to its original timeframe and complaints after that date must have been processed within 21 days. Any further extensions would be considered on a case-by-case basis and firms were encouraged to contact AFCA as soon as possible if the deadline would be problematic.
Chief executive of AFCA, David Locke, said: “AFCA has been working closely with key stakeholders since April to monitor and review the response timeframe change, and it is appropriate that the extension ceases as intended at the six-month point.
“We are appreciative of the way our members have dealt proactively with the challenges of COVID-19 and the resolution of complaints during this extended response timeframe. I congratulate our members for their high levels of responsiveness during this extended time period, and I am confident this high level of response will continue when the timeframe reverts to 21 days.”
AUTHOR
Laura Dew
Recommended for you
A relevant provider has received a written direction from the Financial Services and Credit Panel after a superannuation rollover resulted in tax bill of over $200,000 for a client.
Estimates for the calendar year 2024 put the advice industry on track for a loss in adviser numbers as exits offset gains from new entrants.
Adviser Ratings shares five ways that financial advice changed in 2024 with an optimistic outlook for 2025, thanks to the Delivering Better Financial Outcomes legislation.
National advice firm Invest Blue has announced several acquisitions, including the purchase of an estate planning and wealth protection business Lambert Group.
