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ISCOVER
Staff Reporter
Making headlines today, the Herald Sun reported that ANZ agreed to wipe a pensioner’s $18,600 credit card debt, in recognition of reformed lending policies under the new consumer credit protection laws.
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72 year old Alec Stubbs had accumulated an astonishing $46,000 credit card limit through ANZ, despite only receiving around $400 a week in pension payments.
According to the daily, ANZ spokesman Stephen Ries conceded it was a mistake to approve a credit limit of that magnitude.
"It's clear this customer's credit limit should not have been increased to this extent, and due to the exceptional circumstances we have decided to clear this debt to ensure the family is not placed under any additional stress at this time,” Mr Ries told the daily.
"However, we encourage any customers that find themselves in financial hardship to contact us early so we can help them work their way through the situation."
Mr Stubbs had a total debt of $36,000 and a spending limit of $70,000, through ANZ and CBA credit facilities, among others
CBA spokesman Steve Batten told the Herald Sun that the major had stopped unsolicited offers to welfare recipients from 2007, and those who requested extra credit had to pass a financial test.
