Deborah Jenkins

Australians lodged a record 119,949 complaints with the Australian Financial Complaints Authority (AFCA) in 2025–26, which is the highest number on record and the third consecutive year complaints have exceeded 100,000.

AFCA’s Chief Customer Officer Deborah Jenkins said three years of more than 100,000 complaints highlights the challenges many consumers continue to face in a difficult economic environment.

“These numbers highlight the impact that ongoing cost-of-living challenges and economic uncertainty are having on consumers, and the flow-on effects these conditions can have across the financial system,” Ms Jenkins said.

“Every complaint represents someone’s experience, and collectively they provide a view of where consumers are struggling. By working with us and acting on these insights, firms can help prevent recurring issues that lead to complaints with AFCA,” the Chief Customer Officer said.

Overall, the three most complained about financial products in 2025-26 were personal transaction accounts, motor vehicle insurance and credit cards. The top three issues were delay in claim handling, service quality and claim rejection.

Banking and finance remained AFCA’s largest complaint area, with financial difficulty complaints increasing 17 per cent and credit reporting complaints rising 22 per cent across the year, with a steep rise in recent months.

“These numbers point to opportunities for firms to strengthen hardship support, improve communication with customers and ensure accurate credit reporting, helping resolve issues before they become disputes,” the Chief Customer Officer said.

While complaint volumes increased across all areas during 2025-26, the largest growth was driven by major investment collapses and rising superannuation disputes. AFCA’s preliminary data snapshot as at June 30 showed:

• Banking and finance 66,971 complaints (up 23%)
• General insurance 36,022 complaints (up 5%)
• Superannuation 8,755 complaints (up 42%)
• Investments and advice 6,542 complaints (up 56%)
• Life insurance 1,561 complaints (up 3%)

Investments and advice complaints increased by 56 per cent, primarily driven by the Shield Master Fund and First Guardian collapses. Complaints alleging failure to act in the client’s best interest remain the top issue with a 65 per cent increase on last year, up to 2,083.

“While most financial advice firms do the right thing, we are seeing a significant number of complaints stem from major financial collapses that have affected thousands of consumers. These matters are complex and can be incredibly stressful for individuals and their families,” Ms Jenkins said.

Superannuation complaints increased 42 per cent during the year, with delays in claim handling, service issues and rejection of superannuation insurance claims emerging as the most common issues. Rejection of claim complaints increased 82 per cent compared with the previous year.

Scam complaints rose 12 per cent to 6,706 following a decline the previous year, reflecting the continued threat scams pose to Australian consumers.

“Scammers are becoming more sophisticated in how they target consumers. Resolving disputes is important but preventing scams before they happen is even better. That’s why broader scam prevention efforts are so important,” Ms Jenkins said.

While general insurance complaints remained persistently high, Ms Jenkins said the data shows early resolution remains an important feature of the system, with 43 per cent of complaints resolved before progressing through AFCA’s formal decisions-making process.

However, she said there is still opportunity to reduce overall complaint volumes, with comprehensive vehicle insurance again the most complained about insurance product, and rejection of claim complaints increasing by 47 per cent this year.

Since starting operations in 2018, AFCA has received about 690,000 complaints, helping to secure $2.6 billion in compensation or refunds for consumers and small businesses. AFCA’s systemic issues work, where it identifies wider issues than a single complaint, has resulted in 6 million people receiving more than $398 million.

“Complaint data is one of the clearest signals firms have about what’s going wrong for their customers. Firms that use those insights to improve are more likely to prevent the same problems happening again,” the Chief Customer Officer said.

“We’ll continue to share the insights we’re seeing through our complaints data with firms, so they have the opportunity to identify emerging issues early and improve outcomes for their customers.”

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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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