Westpac Consumer Credit Insurance Class Action

Finalisation

Settlement distribution in the Westpac CCI Class Action has now concluded. Please see the general information below.

Distribution finalised

We have attempted to pay all eligible group members, who submitted valid bank account details by the relevant deadline.

Payments were made in February 2024.

Group members whose payments were withheld or failed due to invalid bank account details were given an additional opportunity to amend their details in April-May 2024. Payments for group members who successfully amended their details were made in late-June 2024. We note that it may take further time for the receiving banks of eligible group members to process and receive the relevant payments.

Settlement Timeline

The settlement process is currently at Stage 9 of the timeline.

01. Mediation
Two separate mediations occurred on 16 August 2022 and 19 October 2022.
02. Settlement agreed by parties
The parties reached an in principal agreement to settle the proceeding on 19 October 2022.
03. Notice of Proposed Settlement sent to eligible Group Members
Notices of Proposed Settlement were distributed in February and March 2023, outlining how potential Group Members could register for compensation.
04. Potential Group Members register for compensation
Potential Group Members were able to register online to determine whether they were eligible for distribution and, if so, how much they were entitled to receive. Registration closed on 21 April 2023.
05. Notice of Estimated Distribution sent to Registered Group Members
An estimated compensation amount was provided in a Notice of Estimated Distribution to each Group Member who registered for compensation. Notices were sent in May 2023.
06. Settlement approved by Court
The Federal Court made orders approving the settlement on 21 June 2023 as it was satisfied that the settlement is fair, reasonable and in the best interest of Group Members.
07. Preparation for distribution
Slater and Gordon, assisted by Deloitte, prepared to distribute the settlement funds to each registered Group Member who is eligible for compensation.  Deloitte is one of Australia’s leading professional services firms and is assisting Slater and Gordon to provide settlement administration services. Group Members had until 11 August 2023 to appeal the settlement decision. The appeal period has now passed.
08. Distribution in progress
Each eligible Group Member who has successfully registered for compensation was paid their portion from the settlement fund. The first phase of the payment process was completed in February 2024. Group members whose payments were withheld or failed due to invalid bank account details were provided with an additional opportunity to amend their details in April-May 2024. Final payments were then completed in late June 2024.
09. Distribution finalised
The settlement distribution is now complete.

Frequently Asked Questions

Can I still register?

The deadline for Group Members to register their interest to receive compensation was 21 April 2023. This deadline was imposed by the Court. As such, the registration portal has now closed.

When did the court approve the settlement?

The Westpac CCI Class Action has settled for $29 million. The Federal Court of Australia approved the settlement at the Settlement Approval Hearing held on 21 June 2023.

What was the Westpac CCI Class Action about?

On 28 February 2020, Slater and Gordon filed a class action against Westpac, Westpac Life and Westpac General (together, the Respondents) in the Federal Court of Australia on behalf of persons who held CCI for their Westpac credit card, flexi loan or personal loan, namely:

Westpac Credit Card Repayment Protection;

Westpac Flexi Loan Repayment Protection; and

Westpac Personal Loan Protection.

The class action is based upon allegations that the Respondents:

engaged in misleading or deceptive conduct (for example, by failing to inform some customers that the policies were optional);

caused customers to make payments as a result of the mistaken beliefs of some customers that the policies were not optional or provided value;

engaged in unconscionable conduct by, among other things, using 'unfair tactics' in arranging the issue of the policies and not giving customers an adequate opportunity to consider whether the policies were suitable for them; and

unlawfully provided personal advice to some customers who purchased the policies in a bank branch or over the telephone after 28 February 2014.

When will I be paid?

Payments to eligible Group Members who provided valid bank account details were processed in February 2024 or late June 2024.

What if I don’t agree with my outcome?

The Federal Court of Australia approved the settlement of this class action on 21 June 2023 by orders available here. All deadlines to appeal or review your outcome have passed and settlement distribution payments have been made. There are no further grounds for appeals or disputes over individual settlement amounts.

Group members were previously provided an opportunity to appeal or review their outcome by:

requesting a review of their Notice of Estimated Distribution within 21 days of receiving their notice;

objecting to the settlement by filing a Notice of Objection with the Federal Court of Australia by 14 June 2023 and/or by attending the settlement approval hearing on 21 June 2023;