Protecting Customers Who May Be Experiencing Vulnerability (Australia)

In response to evidence heard by The Financial Services Royal Commission, and to changing community expectations, industry codes such as the Australian Banking Code of Practice and the General Insurance Code of Practice are strengthening their requirements for members to have policies to assist customers who may be experiencing vulnerability, and to train their staff accordingly.

This course provides an introduction to financial vulnerability and describes the various ways in which a customer may be vulnerable – for example due to ill-health, age, co-dependency, limited literacy or unfamiliarity with financial transactions. It provides tips to assist staff in recognising cases where a vulnerable customer may be subject to improper manipulation, or where they need to take extra steps to ensure that the customer fully understands the financial product they are considering.

The course teaches learners about the range of options they have in responding to cases of possible financial abuse and reminds them of the limitations on the actions they may take. Dealing with possible financial abuse requires a careful balance between protecting customers and respecting their rights.

One module is dedicated to ways of helping a customer who is fleeing domestic violence.