End rip-offs and we all benefit

I REALLY doubt how genuine the finance industry and banks are about putting an end to customer rip-offs.

It’s a business model they have been honing, expanding and obscuring for decades.

It earned them millions, if not billions of dollars in dodgy profits. Little wonder they are fighting tooth and nail to keep as much of this graft as possible.

And before anyone spouts the ridiculous excuse big-bank profits benefit shareholders – including our superannuation funds – close your mouth.

The behaviour of these institutions is wrong, unethical and has seen them mired in legal action for alleged illegal activity.

We would all be better off just not getting ripped off.

And, of course, so would all the shareholders – after all, they’re customers too!

And before anyone (politicians in particular) spouts the equally ridiculous excuse bigbank profits help our global reputation and strengthen our finance sector – no!

The strength of our banks and finance sector should never hinge on profits from unethical and potentially illegal activity, activity sanctioned for decades by complicit board members and politicians.

Despite the royal commission which began this week, the finance bosses are still being dragged screaming and kicking every step of they way.

They are, and have been, extremely slow, if not backward, in their ability to accept responsibility.

They continue to actively hide or fail to disclose ongoing rip-offs. Their first reaction is to deny and confuse.

Another report surfaced this week to demonstrate the sector’s ongoing scams and the lack of genuine remorse or intent to fix the problems.

The Consumer Action Law Centre issued its research into the insurance industry – a report aptly titled, with a big red stamp on the front page, DENIED.

The report details the type of rip-offs used by insurance companies, including bankowned insurers, and how they are allowed to go out of their way to deny claims and make consumers suffer.

The report calls for politicians to end the special deal insurance companies have that lets them provide unfair contracts.

Yes, you read correctly, they are allowed to have contracts that are unfair, unlike virtually every other consumer transaction in the country.

Instead they have their own special category to act in “good faith”, a situation Consumer Action describes as grossly inadequate.

But as the purse strings are closed, hopefully, around the rivers of cash finance institutions are taking from their customers in scams and rip-offs, there is a growing fear they will fight even harder to keep this special insurance exemption.

After all, what’s the good of an insurance company if it has to pay out claims to customers?

Despite a few recent public shamings and forced undertakings to repay millions of dollars to wronged customers, insurance companies are still stashing away millions of dollars in dodgy profits from unfair exclusions and harsh definitions.

They pounce at every opportunity to deny claims.

“Good faith”? Pigs a---!