AFCA Leverages Enhanced Standards to Minimize Advice Complaints
AFCA Leverages Enhanced Standards to Minimize Advice Complaints
The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.
The Australian Financial Complaints Authority (AFCA) demonstrated significant progress in managing investment and financial advice issues in the past year.
The organization reported closing 4,118 complaints in the sector during the 2024 fiscal year, marking an impressive 82% increase in resolved cases compared to the previous year.
Interestingly, the number of new complaints AFCA received in this sector fell to 3,559, a notable decrease of 26% from the preceding year. According to its annual report, AFCA attributed this decline to the positive impact of rising educational standards and heightened professionalism within the financial advisory industry.
However, challenges persist, particularly concerning the controversial case of Dixon Advisory, which continues to contribute to overall complaints. Without the Dixon Advisory-related grievances, complaints hit an all-time low of 2,709.
Lead Ombudsman for investments and advice, Shail Singh, noted during AFCA's recent member forum that outcomes were not universally favoring complainants. For instance, one claimant involved with Dixon did not suffer harm despite following conflicted advice.
Moreover, Senior Ombudsman Patrick Hartney highlighted, “When compared to what AFCA deemed appropriate advice, the complainant was actually better off with the conflicted advice result.” Hartney explained how cookie-cutter approaches to advice might have variable impacts based on individual circumstances, proving beneficial to some despite being generally suboptimal.
The AFCA annual report further elaborated that nearly half (44%) of the complaints they handled were resolved during the "rules review" phase. This stage, where issues are examined for jurisdictional appropriateness, requires detailed decision-making, explaining the average resolution timeframe of 129 days. Such intricate processes have been partly responsible for protracted case durations.
While complaint volume has decreased, the top issue remains inappropriate advice, which accounted for 706 (20%) of all complaints. Other recurring issues include confusion over the classification of Self-Managed Super Funds (SMSFs) and wholesale client status, often leading to misapplication of financial thresholds, an insight noted by Sidoti, the Senior Ombudsman.
“It’s pretty clear that actually doesn’t apply in circumstances where advice is given to a trustee to an SMSF,” confirmed Sidoti. Misapplication of these financial thresholds can categorize SMSFs inaccurately, with serious advisories issued for small balance SMSFs lacking diversification.
With market volatility influenced by national political events, the authority has observed complaint trends shifting accordingly. Beyond handling regular disputes, AFCA has now been endorsed by the government to lead an external resolution scheme under the Scams Prevention Framework, a major initiative in the governmental “war on scams”, as stated by Minister Stephen Jones.
The pilot will cover three key sectors: banks, telecommunications, and digital platforms, illustrating an expansive approach to scam management involving interconnected industries.
Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.
Australia’s financial complaints landscape remains under close watch, with recent industry reporting again pointing to pressure across lending, credit reporting, insurance and customer service. While these updates are not written specifically for personal watercraft buyers, they carry a useful warning for anyone preparing to finance a jetski: a smooth purchase day does not always guarantee a smooth loan experience. - read more
Canstar’s latest personal loan coverage is a useful reminder for Australians planning a lifestyle purchase: the cheapest-looking loan is not always the lowest-cost option once fees, loan terms and repayment flexibility are considered. While the guidance is written for personal loans broadly, it has clear relevance for buyers considering jetski loans, especially when a personal watercraft is being financed outside a dedicated marine loan. - read more
ASIC’s Moneysmart updated its insurance guidance on 16 July 2026, and while the information is broad, it carries a practical message for anyone preparing to finance a jetski: the loan repayment is only one part of the ownership cost. Insurance can affect your monthly budget, your lender’s requirements and your ability to recover financially if the watercraft is damaged, stolen or involved in an accident. - read more
ASIC’s 24 June 2026 review of car finance has put a sharp spotlight on how asset loans are sold, priced and managed in Australia. While the report focused on motor vehicles rather than personal watercraft, the lessons are highly relevant for anyone considering jetski loans, especially where finance is arranged through a dealer, broker or other third-party distributor. - read more
Canstar’s latest boat loan comparison update puts a timely spotlight on how Australians are funding life on the water, and the lessons are directly relevant for anyone considering a new or used jetski. While a personal watercraft may be smaller than a cabin cruiser or fishing boat, the finance principles are much the same: the right loan is not simply the one with the lowest advertised rate, but the one that fits your income, usage plans and repayment comfort. - read more
Buying a jet ski is only one part of the ownership cost. Registration, licensing, safety requirements, insurance, storage and maintenance can all affect your budget, and the rules and fees can vary by state or territory. - read more
Buying a jet ski can be a major purchase for Australian riders, especially once loan repayments, insurance, registration, maintenance, storage and accessories are considered. This guide explains the main jet ski loan options, how to compare lenders, what to prepare before applying and the common financing pitfalls to avoid. - read more
Buying a jet ski is a significant financial decision. The right funding method depends on your savings, borrowing capacity, security available and how quickly you can repay any debt. This guide compares the main ways Australians commonly fund a jet ski purchase. - read more
Jet skiing is one of the most exhilarating water sports out there and owning a Jet Ski can be incredibly exciting. However, along with the excitement comes the responsibility of ensuring that your Jet Ski is well-maintained. Jet Ski maintenance is important for many reasons, and in this article, we will explore the reasons behind why it should be a top priority for any Jet Ski owner. - read more
When considering the purchase of a jetski, two popular financing avenues stand out: personal loans and dealership financing. Each offers unique benefits and potential drawbacks, and understanding these options can help you make an informed decision. - read more
Knowledgebase
Mortgage Insurance: Insurance that protects a lender in case a borrower defaults on their mortgage.
No comments yet. Be the first to share your thoughts.