ASIC has announced that following its industry-wide review of 16 travel money cards by eight issuers, three card issuers are changing their terms and conditions so that customers do not forfeit their funds when the cards expire.

Travel money cards issued by ANZ, Cuscal (issuer of the Westpac card) and the Bank of China (issuer of the Australia Post Load&Go China card) will now allow customers to reclaim balance funds even after the expiry of the card.

The other card issuers reviewed did not forfeit funds after expiry.

Previously CBA changed its Travel Money Cards so consumers will not forfeit any funds left on expired cards. Instead, any expired funds are held by the CBA for three years and, if they remain unclaimed by consumers, will be treated as unclaimed money.

The eight issuers have agreed to:

• improved disclosure in product disclosure statements about how customers can reclaim funds after expiry
• removal or reduction of fees, including inactivity fees
• improved communications to customers at, or close to card expiry to remind customers of their available balance and explain how funds can be accessed.

Funds on reloadable cards are generally not protected by the Financial Claims Scheme.