AFCA Chief Executive Officer and Chief Ombudsman David Locke said David Lacey will lead the expansion of AFCA’s jurisdiction to consider the role of banks, telcos and digital platforms in scam complaints.

“As founder and CEO of IDCARE, David brings unparalleled experience in understanding the profound impact scams have on individuals and their families,” said the Chief Ombudsman.

“David has spent years working directly with scam victims, and that perspective will be critical in shaping a scams ombudsman service that is accessible, fair and can effectively resolve complex issues involving multiple parties.”

AFCA’s external dispute resolution service will be a key component of the Government’s Scams Prevention Framework and introduces an expanded area of responsibility for AFCA, requiring additional capabilities, systems and cross-sector coordination with new industries.

David Lacey joins AFCA from IDCARE, where he built Australia and New Zealand’s leading response service for victims of identity crime and scams. He has also held senior executive roles across government and industry in cyber and identity security, law enforcement, and national security.

“External dispute resolution will play an important role within the Scams Prevention Framework. I’m excited to build a scams ombudsman service that will consider all the parties involved in a scam and help deliver fair outcomes for consumers and firms,” David Lacey said.

The Chief Scams Officer appointment is one of several recent C-suite additions at AFCA, strengthening the organisation’s leadership team to meet future demands and the needs of the community.

“We are bringing together scams expertise with customer-focused technology and systems so AFCA is ready for its next phase of growth and can deliver the best possible service,” said Chief Ombudsman David Locke.

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AFCA Chief Executive Officer and Chief Ombudsman David Locke said the new appointments ensure AFCA has the right expertise in place to prepare for the future and meet the needs of the community.

“The demand for our service is as strong as ever and cases are becoming increasingly complex, but at the very core, we are helping people dealing with a financial issue and we know that can be very stressful for people,” said the Chief Ombudsman.

“We are strengthening our expertise so we can streamline our processes, make our service easier to use, and manage the sustained high volume of complaints we continue to receive.”

AFCA has grown considerably since it was established in 2018, and for the past two years has received over 100,000 complaints from consumers and small businesses each year. That figure is on track to reach over 110,000 complaints this financial year.

AFCA’s new Chief Customer Officer Deborah Jenkins brings significant senior leadership experience across major regulators, the public service and global professional services, where she has led large, customer-facing teams working in complex environments.

“I’m motivated by AFCA’s industry-wide impact and its use of data to strengthen consumer protection, deliver insights and deliver better outcomes. With such significant public trust responsibilities, AFCA plays a vital role in the community. I look forward to using my experience to make sure people who come to us are supported, treated fairly, and are heard,” said Deborah.

Stevie-Ann Dovico joins AFCA as Chief Technology Officer with almost 20 years of senior technology leadership across major banks and a large mutual. Her experience spans digital modernisation, data-led operations, cyber security, enterprise architecture, and cloud transformation within highly regulated environments.

“I’m excited to bring my experience in technology to an organisation that makes a genuine impact on people’s lives. AFCA’s work is grounded in purpose, and there is real opportunity to use technology to strengthen its services, improve accessibility and deliver better outcomes for the people who rely on us. This is a chance to make a meaningful contribution,” said Stevie-Ann.

Brigid Parsonson has been acting in the Chief Operating Officer role since early 2025 and was appointed following a comprehensive search process. Since joining AFCA in 2019, she has played a key role in shaping the organisation’s growth and leading major enterprise initiatives including the evolution of AFCA’s funding model and the modernisation of core systems.

“As our jurisdiction expands, my focus remains on strengthening our operations and supporting our people so we can continue delivering fair, timely and high-quality outcomes. AFCA plays a vital role in the community, and I look forward to continuing to build on the strong foundations already in place as we move into our next phase of growth,” said Brigid.

The Scams Prevention Framework will introduce a new line of business for AFCA, requiring new capabilities, systems and cross-sector coordination. An announcement about AFCA’s inaugural Chief Scams Officer (CSO) will follow in the coming weeks.“Our new leaders bring perspective, deep experience and a strong commitment to public purpose – exactly what AFCA needs as we enter our next phase of growth and continue delivering for the community,” said the Chief Ombudsman.

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David Locke

The Australian Financial Complaints Authority (AFCA) received a record number of complaints in 2025, with 111,373 complaints coming through the door – a 14 per cent increase from the 2024 calendar year.

Consumers and small business owners secured $643 million in compensation and refunds after coming to AFCA, which is another record and a 120 per cent increase from the previous calendar year.

The increase in complaints was spread across all financial products, including banking and finance, insurance, investments and advice, and superannuation.

Large scale collapses in the financial advice sector resulted in a 58 per cent increase in investment and advice complaints, including a 59 per cent increase in complaints from self-managed superannuation funds. This includes 2,162 complaints relating to the collapse of the Shield and First Guardian Master Funds.

“Shield and First Guardian complaints will continue to be a key focus for AFCA throughout 2026. We have now issued 44 decisions, including five lead decisions, and have 500 simultaneous investigations underway, and we remain firmly committed to progressing these matters as quickly as we can,” said Chief Ombudsman and Chief Executive Officer David Locke.

Last week AFCA reached a significant milestone when it issued its 1,000 Dixon determination. Complaints against Dixon Advisory are the largest single batch of complaints AFCA has ever managed. This work continues to be a focus with around 900 matters currently under investigation.

“We know that large scale financial firm collapses can have a profound impact on people and their families. We’re working through these matters as quickly and carefully as we can, and we’re making steady progress,” David said.

The 29 per cent rise in superannuation complaints (7,687) in 2025 was largely driven by delays in handling claims and disputes over claim decisions. While complaints about death benefits have remained steady, the main pressure points were timeliness and transparency in the claims process.

Since the start of operation, AFCA has received more than 634,000 complaints, helping to secure $2.1 billion in compensation for consumers.

“This data highlights the sustained demand for our service, and with a new Banking Code now in force, and major reforms underway across general and life insurance, this is a pivotal moment for the financial services sector to lift standards and deliver more consistent, accessible and customer focused outcomes for their customers,” said the Chief Ombudsman.

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David Locke

The complaints data in the Australian Financial Complaints Authority’s (AFCA) Annual Review, published today, demonstrates the persistent financial pressures facing consumers, as well as areas where financial firms can do better when dealing with disputes.

In the 2024–25 financial year, and for the second year in a row, AFCA has received more than 100,000 complaints.

“We know many Australians continue to feel financially stretched and stressed – and behind every complaint we receive is a person seeking fairness and resolution in a time of uncertainty,” said Chief Ombudsman and Chief Executive Officer David Locke.

“In times of economic pressure, it’s critical that financial firms strengthen their internal dispute resolution processes and ensure resources are available to deal with disputes in a fair and timely manner.”

The 2024–25 financial year saw banking and finance complaints continue to be the largest complaint type, making up 54 per cent of all complaints. Despite a 17 per cent drop in financial difficulty complaints overall, “failure to respond to a request for assistance” remained in the top five complaint types for the sector.

“We’re calling on all financial firms to stay committed to early resolution and proactive engagement with their customers, particularly those experiencing financial hardship,” said Mr Locke.

“We know more and more families are experiencing hardship due to cost-of-living pressures, and we urge financial firms to genuinely consider these requests with fairness and compassion.”

Large scale collapses in the financial advice sector continue to result in high volumes of complaints against advisers and financial advice firms – up 18 per cent from last financial year. Self-managed superannuation fund complaints significantly increased by 95 per cent and “failure to act in the client’s best interest” complaints increased a concerning 124 per cent.

“Our complaints data points to systemic issues in advice models, particularly where conflicts of interest and inappropriate use of SMSFs are involved,” Mr Locke said.

“This underscores the importance of the Compensation Scheme of Last Resort to ensure consumers have access to redress when financial advice fails to be in their best interest.”

This year AFCA’s jurisdiction was expanded to include Buy Now Pay Later (BNPL) providers, and in 2024–25, AFCA received 2,099 complaints about these products. The most common issues were credit enquiries, unauthorised transactions, and service quality.

“BNPL products continue to be popular with Australians, especially younger Australians, and we are watching this sector with interest. As providers fulfil their credit license obligations, we expect to see new complaint types emerge, including responsible lending and credit reporting concerns,” said Mr Locke.

AFCA received 34,231 general insurance complaints, a 17 per cent increase from last year, which was driven by complaints about add-on insurance. Excluding add-on insurance, general insurance complaints remained consistent with the last two years.

“Persistently high volumes of complaints about general insurance demonstrates there is more to be done by the sector to prevent complaints reaching AFCA, particularly in cases where escalation could have been avoided if the issue was simply a claim delay,” said Mr Locke.

“Proactive and clear communication with customers can often be the very thing that stops a complaint from being escalated in the first place.”

Read the Annual Review.

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Organised by The Fathering Project, the awards celebrate individuals and organisations championing the vital role that fathers and father figures play in shaping communities and in the lives of children.

The workplace category specifically acknowledges organisations that go above and beyond to support fathers through progressive policies, inclusive culture, and flexible work arrangements.

“We’re honoured to be named Australia’s Best Workplace for Fathers and be recognised for a workplace culture that supports families and encourages people to bring their whole self to work,” said AFCA’s Chief Ombudsman and Chief Executive Officer David Locke.

“Fathers and father figures play a critical role in their children’s emotional wellbeing, and when families are able to find the right balance between their professional responsibilities and raising and caring for children, the impacts are hugely positive,” David said.

“When people feel like they’re doing a good job at home, they do a good job at work – it has been our experience that a family friendly culture is good for business. Not only does it mean we can attract, recruit and retain great people, it means they are happy and engaged,” he said.

“A lot of what we offer to our staff is not costly or difficult to implement and I would implore other businesses to think about the changes they can make to better support fathers and all families – and ultimately, future generations.”

AFCA offers up to 20 weeks of paid parental leave, including superannuation, for eligible employees regardless of gender or how they become a parent – whether through birth, adoption or surrogacy. Fathers are actively encouraged to take parental leave and in the past 12 months, 44 fathers have done so, which makes up almost half of all parental leave-takers.

AFCA’s Carers’ Network – an employee led resource group – offers advice and holds events for carers, parents and children alike, to help those balancing work and caregiving.

The organisation’s parental leave policies are designed to be inclusive, equitable and flexible – removing distinctions between “primary” and “secondary” caregivers to recognise the diversity of families today.

AFCA also offers flexible working arrangements, and many fathers choose to work part-time, from home or with adjusted hours to balance work and parenting responsibilities.

AFCA joins a growing list of organisations leading the way in workplace inclusion and wellbeing.

The award was presented at the Australian Fathering Awards ceremony in Sydney, with outstanding fathers in sport, community and national leadership also recognised.

We congratulate our fellow award winners and nominees for helping to positively impact Australian families.

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David Locke

The Australian Financial Complaints Authority (AFCA) has received more than 100,000 complaints for the second year in a row.

While there was a 4 per cent decline in complaints overall, Chief Ombudsman and Chief Executive Officer David Locke said AFCA was still receiving far too many.

“The movement is in the right direction, but receiving 100,000 complaints in a year is still unacceptably high,” Mr Locke said of the 100,745 complaints in 2024-25. The slight decline was from a record 104,861 complaints the previous year.

“We’ve now had three years of high complaints,” Mr Locke said. “Firms have more work to do to ensure fair responses to complaints are delivered earlier, without people having to take the extra step of coming to us.”

Higher complaints in investments and advice and in general insurance outweighed falls elsewhere. AFCA’s preliminary data snapshot as at June 30 showed:

• Banking and finance 54,581 complaints (down 9%)
• General insurance 34,231 complaints (up 17%)
• Superannuation 6,164 complaints (down 16%)
• Investments and advice 4,193 complaints (up 18%)
• Life insurance 1,518 complaints (up 5%)

Mr Locke welcomed a decrease in scam-related complaints, down 45 per cent to 5,977, contributing to the overall fall in banking and finance complaints.

“Whilst any decline is positive and we welcome the progress made by Government and industry to prevent scams, caution should be exercised in interpreting AFCA’s scam numbers,” Mr Locke said.

“AFCA currently only sees a small proportion of scam complaints, and towards the end of the financial year we saw an uptick in some scam types that cause great harm. The number of scam cases are far too high and behind every case is a consumer who has been traumatised and often suffered life changing impacts.”

“We urgently need mandatory industry codes and further action from all to prevent, protect and respond to scams. This evil trade causes so much human harm, and the law and regulatory framework we currently have is not sufficient to address this. Industry should not wait to take action; every day we see the impact of more people affected.”

The three most complained about financial products overall in 2024-25 were personal transaction accounts, motor vehicle insurance and credit cards. The top three issues were misleading product or service information, delay in insurance claim handling, and service quality.

Investment and advice complaints rose 18 per cent amid a string of failures, including United Global Capital, Shield Master Fund, First Guardian Master Fund, and Brite Advisors PL.

There was an allied 95 per cent rise in complaints involving self-managed super funds (SMSF) to 1,323 complaints, accounting for a third of complaints in investments and advice. Complaints alleging failure to act in the client’s best interest rose 124 per cent to 1,266.

“What we’re seeing in complaints is a clear pattern of conflicted advice models and the inappropriate use of self-managed super funds that ultimately isn’t in the customer’s best interest,” Mr Locke said. “This only highlights the need for the Compensation Scheme of Last Resort for victims of unlawful advice.”

While general insurance complaints rose 17 per cent to 34,231, Mr Locke noted that a surge of complaints about add-on insurance was the main cause of the increase. Apart from that the industry had overall made progress on reducing high complaint numbers. However comprehensive vehicle insurance was again the most complained about insurance product.

“Delays in motor vehicle insurance claims are increasingly driven by industry-wide shortages in parts and skilled labour. To maintain trust, insurers must effectively communicate these challenges transparently and proactively, helping customers navigate the wait with clarity and confidence.”

Mr Locke welcomed an improvement in claim handling by superannuation funds, with complaints about delays in claim handling falling 39 per cent in 2024-25.

“The reduction in superannuation complaints is a positive sign that improvements are being made, but we’re still concerned that the top three issues relate to service quality and we urge superannuation funds to improve service standards,” said Mr Locke.

Since starting operations, AFCA has received about 570,000 complaints, helping to secure $1.8 billion in compensation or refunds for consumers. In addition, AFCA’s systemic issues work – where it identifies wider issues than a single complaint – has resulted in 5.4 million people receiving more than $392 million.

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David Locke

The Australian Financial Complaints Authority (AFCA) welcomes a federal government decision that will enable it to consider the actions of “receiving banks” in scam complaints, as well as the news that scam reports to government agencies fell 26 per cent last year.

The Assistant Treasurer and Minister for Financial Services, Stephen Jones, said today that he had approved a change to the conditions of AFCA’s authorisation as ombudsman service for the financial sector that would enable it to investigate and consider the actions of receiving banks in scam complaints.

Currently – and until the change comes into effect in 12 months’ time – AFCA does not have jurisdiction to look at the actions of a “receiving bank”, where the proceeds of a scam are transferred. It can only consider the actions of the bank that has the direct customer relationship with the person or entity who has lodged a complaint.

“This authorisation condition change means that in the future, the actions of receiving banks can be considered as part of the full chain of events in a scam,” Mr Locke said.

“We welcome this direction from the Government. AFCA will work with industry and consumer groups over coming months on the changes required to AFCA’s Rules to ensure a smooth transition to implement this change.”

Meanwhile, it was encouraging to see from the National Anti-Scam Centre’s latest Targeting Scams Report that losses to scams had fallen 26 per cent in 2024, and the volume of scam reports by 18 per cent.

“This improvement demonstrates the positive impact of all stakeholders working together to tackle this crime,” Mr Locke said. “However, the numbers remain large, with nearly 500,000 scam reports and $2 billion lost, and there is much more to be done.”

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David Locke

The Australian Financial Complaints Authority (AFCA) welcomes the passage today of the Scams Prevention Framework Bill 2025 to prevent, detect, report, disrupt and respond to scams.

‘Every day we see the devastating impacts of scams, with people suffering life-changing financial losses, as well as the humiliation of being tricked and the loss of their confidence and sense of security. For too long Australia has been a destination of choice for scammers, and the legislative and regulatory settings have been inadequate,” AFCA’s Chief Ombudsman and Chief Executive, David Locke, said.

“This legislation brings in the sectors needed to effectively disrupt and prevent scams. It creates the framework for new codes requiring the banks, telecommunications companies and digital platforms to take robust action to drive out this evil traffic. It will enable the apportionment of liability across different businesses and for a single joined- up redress scheme.

“AFCA believes this legislation is a significant step forward and we will work with Government, the regulators, industry and consumer groups in the collective effort to make Australia a place of last resort for scammers.”

The government has indicated its intention to designate AFCA as the single external dispute resolution scheme for scams, under the Framework. This will create a “single door” for consumers to access redress, by bringing scam complaints to AFCA about digital platforms and telecommunications firms in addition to banks and other financial firms.

“AFCA will work with all stakeholders to deliver a robust, fair, independent and efficient dispute resolution process,” Mr Locke said. “We will use our experience, expertise and insights to contribute to the development of new rules and codes, and to support firms to develop and enhance their internal dispute resolution practices.

“In the meantime, banks, digital platforms and telecommunications companies should not wait for the development of the sector codes but should do everything in their power now to protect consumers. We urge them to approach complaints from customers affected by scams with a resolution mindset, rather than taking an adversarial position.”

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David Locke

AFCA’s Annual Review shows the ombudsman service received a record 104,861 complaints from consumers and small businesses in 2023-24, up 8 per cent on the year before.

One in 10 of those complaints was about scams and releasing the Annual Review CEO and Chief Ombudsman David Locke noted that AFCA had resolved 10,440 complaints where consumers had been scammed out of money, with 70% of these scam cases resolved within 60 days.

Some 67% of scam complaints were resolved at the very first stage of the AFCA process, when it refers matters to the firm. Of the complaints that were not resolved by firms at that first stage and so progressed to investigation at AFCA, 60% resulted in full or partial compensation. Only 2% went to determination by an ombudsman or panel of decision makers.

While a surge in scams complaints was one of the most worrying trends in the past financial year, AFCA saw a welcome downwards turn in the last quarter of 2023-24.

“This is encouraging, but definitely not a cause for complacency”, Chief Ombudsman David Locke said.

“Although AFCA received on average 900 scam complaints a month in 2023-24, that tells only part of the story, because we saw much lower figures over the last three months of the year. Pleasingly this trend had continued into the new financial year, with AFCA receiving an average of 500 complaints a month, significantly lower than in the same period last year.

“It appears that initiatives such as the Federal Government’s National Anti-Scams Centre and steps like account name checking by some of the banks are starting to have an impact,” Mr Locke said. “But there is still a long way to go, and we welcome the Government’s announced Scams Prevention Framework, with strong mandatory codes of conduct.

“AFCA is well placed to deliver external dispute resolution services across the banking, telecommunications and digital platform sectors if that is what the Parliament endorses,” Mr Locke said, referring to the government’s intention for AFCA to be the single point of access for victims of scams who can’t resolve their complaint directly with a firm.

“In the meantime, banks, digital platforms and telecommunications companies should not wait but act now to protect consumers. Much more needs to be done to reduce the operational risk associated with digital payment platforms. We are being required to transition to digital banking; it is the responsibility of the banks to ensure it is safe for us to do so and that the systems properly protect our money.”

Mr Locke also called on firms to approach all complaints with a resolution mindset rather than taking an adversarial position with consumers – especially in a complex area such as scams.

In a recent scam decision AFCA ordered the bank to pay legal costs and an amount for non-financial loss on top of refunding the customer because of the way it handled the complaint. “How banks treat scam victims is important and something we will consider,” Mr Locke said.

“This is not just about the banks, though,” Mr Locke said. “In many cases consumers would never have been scammed were it not for the actions or inactions of telecommunication companies and digital platforms. We will never tackle the scourge of scams and the human misery that scams cause unless all these sectors are required to take robust action to prevent, detect and disrupt scams, and to provide redress to consumers where that is appropriate.”

Another significant concern in 2023-24 was rapidly growing complaints about financial difficulty, including concerns about inadequate responses to hardship applications, the Annual Review noted. Complaints involving financial difficulty rose 18%.

“Complaints relating to home, personal and credit card lending are all rising,” Mr Locke said. “Too many of these complaints relate to poor treatment or ineffective communication during the hardship process. Urgent improvements are needed.”

In general insurance, Mr Locke said AFCA had been engaging with industry to address continued high complaints. “Over the past two years, consumers have faced a record level of premium growth in both car and home insurance. Despite this, we remain disappointed with the lack of action regarding appropriate resourcing, product design, and the adoption of a resolution mindset.”

He welcomed the report of the parliamentary inquiry into insurers’ responses to the 2022 major floods, which includes a call for insurers to resolve more cases efficiently and fairly without consumers having to escalate complaints to AFCA.

You can read the 2023-24 AFCA Annual Review here.

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David Locke

AFCA welcomes the Australian Government’s announcement of its intention to establish a Scams Prevention Framework to prevent, detect, and disrupt scams and to enable consumers to seek redress through a dedicated external dispute resolution (EDR) scheme for scam complaints.

“We welcome action from the Government to address the immense harm caused by scams, and to fill gaps in the law that make it hard for those affected by scams to access redress,” AFCA’s Chief Ombudsman and Chief Executive Officer, David Locke said.

“We understand the important role that AFCA will play to support the Government’s intention to prescribe AFCA as the EDR scheme for scams, covering not only financial firms but also telecommunication service providers, and a range of digital platform services – this will greatly assist consumers affected by a scam.”

“As an established EDR scheme that receives more than 100,000 complaints per year, we have experience in managing and resolving scam complaints,” Mr Locke said.

In 2023-24, AFCA received approximately 11,000 scam-related complaints – more than 900 a month.

“We believe both consumers and firms will also benefit from having mandated internal dispute resolution mechanisms where none currently exist and access to a single ‘front door’ for external dispute resolution where a complaint remains unresolved.”

Mr Locke added that AFCA looked forward to the consultation on the exposure draft legislation. “We look forward to reviewing the draft legislation. It is important that consumers have greater protections than currently exist and more effective avenues for redress if impacted by a scam.”

“Digital platform services, banks and telecommunications service providers, should not wait until they are required by Codes to take action but should now take all actions possible to prevent, detect and disrupt scams, and to provide a fair response to customers harmed by scams that continue to breach defences.”

Mr Locke said AFCA looked forward to working with the Government, regulators, the Telecommunications Industry Ombudsman (TIO), the relevant industries, the consumer movement and the community, as this important work progresses.

“It is imperative that people can transact safely and are treated fairly when things go wrong.”

Data

• AFCA received 10,951 scam-related complaints, or an average of 913 a month.
• Scams activity was reflected in personal transaction accounts being the most complained about product overall in 2023-24, while transactions that customers considered unauthorised were the most common issue in complaints to AFCA.
• Overall, AFCA has resolved 450,000 complaints since inception on 1 November 2018, resulting in compensation of $1.4 billion.

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