The Commerce Commission has told Bank of New Zealand it has commenced an investigation into BNZ's compliance with particular disclosure requirements under the Credit Contracts and Consumer Finance Act 2003.
BNZ reveals the investigation in its latest disclosure statement and says "the bank intends to fully comply with the Commerce Commission's request for the bank to supply additional information to support its investigation. The potential outcome of the investigation remains uncertain."
BNZ says it has been reviewing its compliance with the CCCFA since 2015 with a particular focus on disclosure requirements. It has refunded some customers.
"As part of this process, in late 2018, the bank provided information to the Commerce Commission in relation to issues identified regarding the level and timing of disclosure made to certain credit and loan product customers and the remediation of these customers."
The bank announced in December last year that it had paid $3.8 million to more than 10,000 customers to refund them some of the interest and fees they had been wrongly charged.