AFCA Reports Surge in Australian Banking Complaints

The Australian Financial Complaints Authority notes rising disputes over scams and transactions.

Updated on Oct. 26, 2026 in Banking

Bold flat-color editorial illustration in deep red and cream, depicting a vintage bank passbook and keys to signify institutional banking disputes. — The Australian Financial Complaints Authority processed over 64,000 banking disputes this year, fueled largely by rising scams and unauthorized transaction reports. AI Illustration. Upload story photo >

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The Australian Financial Complaints Authority closed 64,130 banking and finance complaints as volumes rose amid cost-of-living pressures. Scams and unauthorised transactions were among the most significant drivers of these disputes.

Why it matters

Rising interest rates and ongoing economic pressures have forced more consumers to challenge their financial institutions over fees, procedures, and security. Disputes often hinge on a lack of understanding regarding firm policies and procedural requirements.

AFCA closed 64,130 complaints during the recent period, achieving an average closure time of 53 days compared to 62 days previously. At 30 June 2026, there were 32,087 open complaints, with banking and finance accounting for 40% of that total.

The players

Australian Financial Complaints Authority

This is an independent body that provides free, fair, and independent dispute resolution services for consumers and small businesses to resolve complaints with financial firms.

The details

Personal transaction accounts generated 17,011 complaints, while credit cards and personal loans followed with 12,066 and 7,200 reports respectively. Scams led the sector with 6,580 complaints, closely followed by 6,038 cases involving unauthorised transactions.

As of 30 June 2026, the Australian Financial Complaints Authority had 32,087 open complaints.

Market Dynamics

This trend mirrors the broader stress on the Australian financial system under the Australian Financial Complaints Authority's dispute resolution framework. It highlights how macroeconomic cycles dictate the volume of consumer interactions within the national banking sector.

Consumers should be aware that 64% of complaints were closed at the initial referral stage, suggesting early engagement with firms can be effective. Those dealing with unauthorised transactions should maintain detailed records to support their case through the AFCA process.

The takeaway

Understanding bank procedures is increasingly vital as financial disputes rise across the country. Consumers are encouraged to engage with their financial institutions early to resolve concerns before escalating them to formal complaints.