The peak body representing the nation’s finance brokers wants banks to start practicing what they preach and is backing Labor’s calls for a royal commission into the sector.
Peter White from the Finance Brokers Association of Australia says it isn’t enough for the banks to explain their actions only once a year, and dismissed a move by leading executives who have taken an oath to lift ethical standards in the industry.
“How ironic for bankers to sign an oath promising to lift values and ethics when the spotlight is now on them for filling their pockets and failing to pass on the full interest rate cuts.”
The Banking and Finance Oath has now been signed by more than a thousand bankers nationwide including the heads of ANZ and National Australia Bank.
“If they want to show they are ethical and hold values then actions must speak louder than words,” said Mr White, who challenged the major banks and lenders to pass on the full interest rate cuts to consumers.
“CEOs and senior managers are pocketing enormous bonus payments for reaching billion-dollar profit targets but where is the reduction in credit card rates which are at an all-time high?”
The industry veteran claims the banking fraternity is deluded if they feel this type of public relations stunt will keep their customers satisfied.
“A need for an oath to uphold better values simply tells me and the community that banks are admitting they haven’t acted ethically in the past.”
“Let’s put this bill to Parliament and bring on a royal commission as this behaviour is offensive to borrowers and depositors across Australia,” said Mr White.