ME Bank faces criminal charges for alleged misconduct

  • the relevant annual interest rates of clients, and / or
  • the minimum refund to be paid after the fixed rate period has expired, and / or
  • the minimum refund to be paid after the interest rate period expires only

According to ASIC, 18 other charges related to their allegations that between December 2016 and February 2018, “ME Bank failed to notify mortgage loan customers in writing that their annual interest rates and minimum repayment amounts were changing after your interest rate only and / or the fixed rate period expired. “

“ASIC alleges that this misconduct occurred due to failures in ME Bank’s systems and processes,” it said in a statement.

A spokesperson for the BOQ Group confirmed to MPA that “a case management hearing was held in Federal Court on 14 September 2021 in relation to the proceedings against ME Bank for alleged violations of the Australian Securities Commission Act. and Investments of 2001 (Cth) and the National Credit Code “.

“The alleged violations relate to communications with mortgage loan customers during a two-year period ending in September 2018,” the spokesperson said. “These issues were self-reported by ME to ASIC in October 2018 and the repair paid to all affected customers in 2019 was approximately $ 105,000.

“BOQ Group became aware of this matter during the due diligence process for the acquisition of ME Bank.

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