Every six months, the reporting periods are:
- 1 January to 30 June, and
- 1 July to 31 December.
A two-month submission window opens at the end of each reporting period. You must submit an Internal Dispute Resolution (IDR) report to ASIC before the submission window closes, in a format prescribed by ASIC.
This requirement was a recommendation made following the Review of external dispute resolution and complaints arrangements in the financial system, also known as the Ramsay Review. It was this review which resulted in the establishment of AFCA. The AFCA Act amended financial services and credit laws and these legislative changes also provided ASIC with additional powers aimed at improving transparency around IDR:
- require financial firms to report their IDR activities to ASIC in accordance with ASIC requirements.
- give ASIC the power to determine, by way of legislative instrument, the content and form of IDR reporting by financial firms; and
- enable ASIC to publish the IDR data, including at the firm level.
This change is designed to improve the effectiveness of internal dispute resolution (IDR) through increased reporting of IDR activity to ASIC.
What should I do?
Now is a good time to make sure your internal dispute resolution (IDR) practices meet the requirements of ASIC Regulatory Guide 271: Internal Dispute Resolution and to make sure you have a good complaints management (IDR) process and practice.
We also recommend that you align your complaints register with the format that is prescribed by ASIC now so as to avoid delays in looking for data when the reporting period opens.
If you need help with your Complaints Policy, your IDR Procedures, or your Complaints Register, we would be happy to help.
Contact the team by emailing info@creditcomply.com.au.