AFCA warns of ‘unregulated’ parts of financial services sector

John Parker - September 13, 2019

Several small businesses which have faced losses due to Viewble Media have alleged that the television scam may be refused compensation based on the finance firm they were chasing.

According to Geoff Browne at the AFCA (Australian Financial Complaints Authority) warned that the case revealed there was some of regulatory gap across financial services. This would imply that the Viewble victims may be far beyond the remit of the new watchdog.

The alleged TV scam of Viewble Media involved small firms that paid $450 per month for one television displaying ad as per a deal along with Viewble however unknowingly got into a 3-year agreement worth around $15,500 with an finance firm.

AFCA was formed previous year combining the ex-Financial Ombudsman Service, the Superannuation Complaints Trust as well as the Credit & Investments Ombudsman.

Browne said that AFCA probed the complaints against the finance firms Flexigroup and Multipli. However’ its remit didn’t extend to other firms that were a part of the alleged television scam as they aren’t members.

The irritated small businesses have continually been waiting since the time the alleged television scam was unmasked last November to know what kind of chance they hold of recovering their money.

John Parker is a finance writer and journalist based in the Outer Banks, NC.

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