ANZ Seeks Reversal of Aussie Federal Court Decision on Credit Card Late-Payment Fees
By Vittorio Hernandez | March 7, 2014 9:36 AM EST
The Australia and New Zealand (ANZ) Banking Group said on Thursday that it would appeal the landmark Federal Court decision in February that declared late-payment fees on credit cards collected by the bank were illegal.
The decision by Justice Michelle Gordon actually found legitimate the collection by ANZ of four other types of fees. The ruling has potential impact on similar late fees charges by telecommunication providers and utilities that could reach billions of dollars.
In turn, Maurice Blackburn, which led the class action suit against ANZ, would also appeal the court ruling that honour fees, dishonor fee and over-limit fees were legal.
The late-payment fees, which could reach up to $35, were described by the court as extravagant and unconscionable since the cost to ANZ of handling the late payments were only between $0.50 and $5.50. However, ANZ insisted that the cost could actually reach thousands of dollars since it could be a precursor to a bad debt.
Of the 2.5 million card customers of ANZ, 42,500 joined the class action suit.
To contact the editor, e-mail:
Most Popular Slideshows
- Still The World Champions: Team USA Overpowers Serbia, 129-92 To Win 2014 FIBA World Cup [PHOTOS]
- Pope Francis: World War III Has Started On Piecemeal
- After Win Over Maidana, Mayweather Says He Is Prepared To Negotiate A Fight With Pacquiao
- From Fat To Fit: Celebrities Who Were Overweight Before They Became The Beauties That They Are
Join the Conversation
- Malaysia Airlines Flight MF 370: Indonesian Police Chief Claims He Knows What Happened To Missing Jet
- Apple Inc. (AAPL) Stock EPS Raised to $7.67 Per Share; Apple Pay Could Be Promising in Australia
- Optus Successfully Launches Optus 10 Satellite That Will Improve TV, Internet, Phone & Data Transmission In Australia
- 7 Reasons Why Atlassian Topped BRW’s Best Place To Work In Australia 2014 List
- iPhone 6 vs iPhone 6 Plus vs Galaxy S5 and HTC One M8: Performance, CPU and Health
- Google Release Roundup: Nexus 5 2014, Nexus 6, Nexus 8 and Android L Killer Features
- iPhone 6 And IPhone 6 Plus Sold Out, New Stocks To Arrive In October
- Moto G (Gen 2) vs. Xiaomi Redmi 1S—Specifications, Features And Price Showdown
- Nexus 6, 8 Release Dates Imminent as Moto X Pre-Order Begins & Nexus 7 Deals Ramp Up