Mistaken internet payments | Australian Financial Complaints Authority (AFCA) (2024)

FAQs

What is a mistaken consumer electronic payment an Australian solution? ›

In a nutshell: a mistaken payment is recoverable since the recipient is unjustly enriched. in order to establish a prima facie right to recovery, the plaintiff must show that the payment was made because of a mistake. it is then up to the defendant to establish reasons why the payment should not be returned.

If you do enter the wrong account or BSB number the payment will be made to the wrong account (unintended recipient). This is known as a mistaken internet payment.

You can use our online form, or contact us by any of the methods described in the Contact Us section of this brochure. Once we receive your complaint, we will work with you and your financial firm to resolve it. We may try to resolve your complaint through negotiation or conciliation.

Our role is to assist consumers and small businesses to reach agreements with financial firms about how to resolve their complaints. We are impartial and independent. We do not act for either party to advocate their position. If a complaint does not resolve between the parties, we will decide an appropriate outcome.

You must contact the bank directly to stop or reverse a payment to the vendor. The electronic payment number must exist in check history. Electronic payment numbers in check history appear in Vendor Maintenance; the numbers begin with the letter E.

When you purchase goods and services online, you pay for them using an electronic medium. This mode of payment, without using cash or cheque, is called an e-commerce payment system and is also known as online or electronic payment systems.

(d) A debtor mistakenly pays its creditors an amount in excess of that which is owed. The general principle that courts and scholars have articulated is that (subject to various exceptions and limitations) recipients are required to return mistaken payments to the payer.

If money is incorrectly transferred into your account, you should notify your bank. Your bank will then try to return the money to the sender. You should not spend or withdraw the money transferred into your account by mistake because it is not legally yours and you have to pay it back.

A mistaken transaction is when when you pay the wrong person or company by using the wrong bank details. When you check your accounts, look for payments or withdrawals you don't recognise, such as: a payment to a person or company you don't know.

If you don't feel we have sorted the problem for you, you can also ask a manager to look at your service complaint. Otherwise, you can complete our online feedback form and select “Service complaint about AFCA”. You will receive a separate reference number within a few business days.

Is AFCA complaint free? ›

We provide consumers and small businesses with fair, free and independent dispute resolution for financial complaints.

Always try to resolve complaints if possible. Time spent on defending a legal claim will probably outweigh the time you would have spent on resolving the matter amicably. Also remember that the inevitable outcome of an unresolved complaint is at least one lost customer and the potential for bad publicity.

They have a set timeframe to work directly with the complainant to reach a resolution: up to 21 days (financial difficulty), up to 45 days (superannuation or traditional trustees) and up to 30 days for all other complaints.

AFCA's Constitution and Rules provide a comprehensive transparency and reporting framework to ensure we are publicly accountable. We also provide quarterly reports to the Australian Securities and Investments Commission (ASIC).

AFCA is governed by an independent Board of Directors. The Board of Directors consists of an independent Chair and an equal number of Directors with consumer and industry expertise.

Australia has high internet and bank account penetration, making credit cards and debit cards the most popular payment methods within the region, with more than 50% of online purchases made using payment cards. In addition to Visa and Mastercard, EFTPOS holds a large share of the local bank card market.

"Debit card" and "Online payment services (e.g., PayPal, Google Pay, Klarna)" are the top two answers among Australian consumers in our survey on the subject of "Most common online payments by type". Find this and more survey data on most common online payments by type in our Consumer Insights tool.

24/7 instant payments and real-time line-by-line settlement via the Reserve Bank of Australia's Fast Settlement Service. PayID, new and easy way to link a financial account with an easy-to-remember identifier such as a mobile phone number, email address or ABN for businesses.

An Electronic Funds Transfer (EFT) payment advice generated in RevenueSA Online contains the BSB, Account Number and Payment Reference Number. Once your transfer is initiated with your financial institution, the Payment Reference Number used, and the amount transferred will appear on your bank statement.