Banking services: cost-effective switching arrangements
The Government commissioned former Reserve Bank of Australia Governor, Mr Bernie Fraser, to investigate options for greater account transferability. Mr Fraser recommended that when customers switch financial institutions, their new financial institution should be authorised to arrange the transfer of all automatic transactions linked to the customer's account. The Government accepted Mr Fraser's recommendations in full and will implement a new 'tick and flick' service by 1 July 2012. This will give Australian consumers the freedom to switch deposit accounts in a simple and effective manner by removing the burden of having to change the details of automatic debit and credit transactions.