New banking code is 'more accessible to customers' and provides clarity on what they can expect from their bank
The New Zealand Bankers’ Association (NZBA) has announced the launch of a new edition of the Code of Banking Practice, aiming to give all customers a good banking experience.
According to NZBA, the new banking code sets out clearly what customers can expect from their bank and comes into effect on June 01.
“Banks care about their customers,” says NZBA deputy chief executive Antony Buick-Constable. “The revised code sets out how they do this in a way that’s easy to understand.”
“I’d encourage anyone who has a bank account to check out the revised code,” he said.
Buick-Constable says the code outlines what consumers can do if they are unhappy with anything their bank has done. Banks will then try to put it right, quickly and fairly.
“It also provides the Banking Ombudsman with more flexibility in determining what good banking practice is,” he explains. “And it’ll keep up to date with changes to the way we’re banking and new obligations for banks under consumer law and regulations.”
The latest edition of the code contains five high-level commitments that banks make to their customers. These promises include:
- Treat their customers fairly and reasonably;
- Communicate with their customers clearly and effectively;
- Respect their customers’ privacy and confidentiality and keep their banking systems secure;
- Act responsibly if they offer or provide customers with credit;
- Deal effectively with customer concerns and complaints.
“What we’ve done with the latest code is make it more accessible to customers,” Buick-Constable added. “We’ve also avoided duplicating customer contracts.”
The code was developed by NZBA members in consultation with the public, other industry stakeholders, and the Banking Ombudsman.
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