National Australia Bank (NAB) has paid A$751,000 in penalties after being issued four infringement notices from the Australian Competition and Consumer Commission (ACCC) for not complying with the Consumer Data Right (CDR) Rules.
NAB was accused of not disclosing, or accurately disclosing, credit limit data in response to four separate requests from different CDR providers. In order for consumers to remain protected, CDR requires financial institutions to ensure consumer data is accurate, complete, and up-to-date, and to be transparent in how they manage consumer information.
By not providing accurate information on credit card limits, NAB impacted the services that fintechs provided to consumers using CDR data.
ACCC deputy chair Catriona Lowe commented: “Poor data quality prevents consumers from experiencing the full benefits of the CDR. When banks or energy retailers don’t provide accurate data, consumers can’t take advantage of CDR products and services to compare products, find better deals, manage their finances or make informed decisions about product switching,”
The penalties from NAB are the highest paid for allegedly infringements for contraventions of CDR rules so far. The bank fully cooperated the ACCC’s investigation.