Code of Practice & Disputes Resolution Service

Internal Dispute Resolutions Process

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Requirements

A Finance Broker will:

1. Have a documented internal process for handling disputes with a Client or Credit Provider in accordance with Australian Standard AS4269-1995 "Complaints handling" and AS 4608-2004 "Dispute Management Systems". A copy of these Australian Standards is available from www.standards.com.au or by contacting "Standards Australia" Telephone 1300 65 46 46. This process shall provide a fair and timely method of handling disputes. (The FBAA notes that the Standards do, acknowledge that some discretion/variation will apply to the guidelines when small businesses are concerned.)
2. Provide a Client or Credit Provider with free access to this process.
3. In the event of receiving a complaint or becoming aware of a dispute, make documentation available to a Client and Credit Provider which:
   1. Describes the procedure for handling a dispute.
   2. States the usual time within which a dispute will be determined. In most instances, it should be reasonable for a dispute to be determined within 20 working days from the Finance Broker having received all relevant information from the Client or Credit Provider.
   3. Confirms that the dispute will be handled by an officer or employee of the Finance Broker with appropriate powers to deal with the dispute.
4. Promptly reply in writing to any request from a Client and Credit Provider for the resolution of a dispute.

If the dispute is not resolved in a manner acceptable to a Client and Credit Provider:

1. Provide to the Client or Credit Provider, where appropriate, the general reasons for that outcome.
2. Inform the Client or Credit Provider whether the Finance Broker believes the dispute is one to which the DRS will apply and information as to the availability of, and how to refer a dispute to, the FBAA DRS.
3. Inform the Client or Credit Provider of any ADRS that the Finance Broker is a member of that may be available to investigate the complaint or dispute if the FBAA DRS is unable to achieve a satisfactory conclusion.

A dispute need not be dealt with by a Finance Broker where:

1. Insufficient information has been provided by the Client or Credit Provider to allow the Finance Broker to properly consider the dispute after the Finance Broker has made a written request for such further information from the Client or Credit Provider.
2. The substance of the dispute is, or has already been, the subject of consideration by the Finance Broker's internal dispute resolution process, statutory body, or other complaint or dispute resolution process, or adjudication by a court, tribunal or other legal process.
3. Where the matter is deemed frivolous, vexatious, or of improper purpose.

FBAA Disputes Resolution Service (DRS)

The FBAA has in place a DRS to assist members to resolve complaints made by Clients or Credit Providers where they have been unable to reach resolution via their own internal dispute handling mechanism. FBAA Accredited Members and Associate Members may make this service available to the complainant following failure to resolve a dispute/complaint, and prior to having the matter escalated to any ADRS (External). Members are encouraged to explain the availability of this process to the complainant. Participation in the DRS is purely voluntary for members and complainants.

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