[LINK] Assault on Consumer Protection on the Net

[Marghanita da Cruz]

Alan L Tyree wrote:
> On Thu, 12 Apr 2007 12:00:16 +1000
> Howard Lowndes <lannet at lannet.com.au> wrote:
> 
> 
>>
>>Roger Clarke wrote:
>>
>>>The Australian Securities and Investments Commission (ASIC) is 
>>>undertaking a Review of the Electronic Funds Transfer Code of
>>>Conduct:
>>>http://www.asic.gov.au/asic/asic.nsf/byheadline/Review+of+the+Electronic+Funds+Transfer+Code+of+Conduct+2007?openDocument 
>>
>>I went to this site and found approx 6 submissions, but none were 
>>submissions from any industry players and hence there is no 
>>demonstration of the assertions made below.  Where are the industry 
>>submissions that are encouraging change to the EFT?
> 
> 
> The deadline has been changed to the end of April at the request of
> various "shareholders". So you are unlikely to see any industry
> submissions until the very end.
> 
<snip>
The scope is pretty broad mentioning PAYPAL, Octopus Card and
presumeably  E-TAGS on motor ways etc......as well as Telephone
transactions.

It was interesting to note, that the submissions from the Family
Business Association wanted the code to become compulsory.

Roger there seemed to be a lot of discussion about Telephone Payments,
EFTPOS and Direct Debit - not so much about Internet banking.
For my part I don't think userid/passwords are sufficient. There was a
reference in the discussion paper about the ABA's Authentication
policies. Don't you believe these to be strong enough?

The current opportunity to dispute transaction on credit cards prior to
payment and an interest free period, make them much more secure than
bank accounts.

Is there any suggestion of this changing? If it did, I would cancel my
credit card but would not use my bank account instead. I have had
problems with a Direct Debit Authority and Internet Fraud on my credit
card but both
times, the ISP  and the bank respectively alerted me, before I saw the
transactions on my bill.

There was still a lag in the reversal of the transactions - but this
wasn't a cost to me.
If it was on my bank account it would have been in which case, an issue
of interest/lack of access to funds becomes an issue. There has to be
some kind of penalty and incentive for something to happen.

It should be noted that the issue of penalty/incentive to fix the 
problem is not necessarily different from non-electronic related errors 
- such as calculation of Interest on bank accounts/home loans etc.

Marghanita
-- 
Marghanita da Cruz
http://www.ramin.com.au/
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