Report shows nearly 30 banks enhancing policies and terms as preventive measures
Australian banks are making significant strides in protecting customers from financial abuse, according to a new report, which found 29 institutions implementing or planning changes to their policies and product terms.
The Flequity 2025 Respect and Protect Index showed that the banking industry is leading the way in taking preventive action against financial abuse, as Australian Banking Association (ABA) chief Anna Bligh (pictured above) reiterated that addressing financial abuse remains a top priority for the industry.
According to the ABA, financial abuse is a widespread issue that can affect anyone and often occurs over an extended period. It can involve unauthorised spending, coercion to sign documents, pension-skimming, or denying access to bank accounts. Other forms include pressuring someone to provide unpaid care, forcing financial decisions, or manipulating legal arrangements such as wills or power of attorney.
The banking sector has expressed its commitment to tackling financial abuse by working alongside government agencies, consumer advocates, and industry groups to strengthen protections and support affected customers.
“Financial abuse is an issue that banks and their staff are confronted with every single day,” Bligh said. “Australian banks are taking world-leading action to make it harder for perpetrators to exploit banking products and services to control and financially abuse people.
“There has been a major focus across the sector to design safer banking products by ensuring terms and conditions are clear that financial abuse won’t be tolerated and could lead to account suspensions.”
Banks have also introduced measures such as staff training to identify warning signs, support for victims in resolving debts linked to abuse, and enhanced privacy and safety settings. Some institutions are also referring affected customers to specialist support services.
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