14 Mar 2014

Australian consumers to get the rough end of the stick.

Coalition shows us who counts, it's not the average Joe.
Consumers to be dumped on once again.

Now Politicians, Used car salesmen and Journalists can sell financial products, this means the people we hold in the highest esteem can now get in the game with no training.
Now that's reassuring isn't it?

The government is to have the law changed so that bank tellers can sell an unlimited range of financial products across the counter.
The Assistant Treasurer says the government will introduce the first of several amendments to Labor's Future of Financial Advice reforms to Parliament next week.

Laws were introduced last year by the former Labor government to better protect consumers seeking financial advice following a string of financial planning disasters that cost investors billions of dollars.

Their reforms said that most commissions and other types of "conflicted" remuneration - that is payments that can influence the type of advice provided - are banned.
This includes non-monetary kickbacks for achieving sales targets and higher commissions for recommending one product over another.

Conflicted pay is banned whether financial products are sold under "general" advice or by financial advisers under "personal" advice, though commissions are allowed on some types of insurance.

Now the Abbott government is proposing bank tellers, planners and call-centre workers who are employees or agents of deposit-taking institutions - banks, credit unions and building societies - be exempt from the ban on conflicted pay as long as the advice is general.

Tellers selling more complex products might have to do some additional training.

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