ASIC has issued the ASIC Corporations (Approval of Banking Code of Practice) Instrument 2019/663 which approves the Australian Banking Association’s updated Banking Code of Practice, which was published on their website on 24 June 2019. The Code commenced on 1 July 2019.

Following ASIC’s approval of the 2018 version, in response to issues raised at the Financial Services Royal Commission, the ABA proposed a number of changes to the 2018 Banking Code.

The variations are designed to:
(a) clarify that a bank will not charge fees for services to deceased customers, where services are no longer being provided to that customer’s estate;
(b) modify banks’ commitment to provide a copy of a valuation to a small business borrower to allow banks to place reasonable limitations on the use to which the borrower (or any third parties) can put that valuation;
(c) clarify the original intention and the position in the ABA’s Industry Guideline: Appointing property valuers when lending to small businesses and primary producers that a copy of the valuation be provided to a small business borrower only where the loan is secured against commercial or agricultural property;
(d) reflect ASIC’s implementation of law reforms to credit card responsible lending in ASIC Credit (Unsuitability – Credit Cards) Instrument 2018/753; and
(e) make minor and technical corrections throughout the 2018 Banking Code.

You can watch a video giving an overview here or a full course on the Code here.