This article was originally published on ANZ Bluenotes.

More than one year on, the COVID-19 pandemic has had a major impact on Australian consumers with many people finding themselves in financial situations not experienced before. 

AFCA Chief Ombudsman David Locke says financial service providers must stay focused on the bigger picture to assist consumers.

Financial stressors – not just those created by COVID-19 – have always existed. When circumstances change it is not always possible for people to meet their financial obligations with the pressure of everyday bills and anxieties about big-ticket items like mortgages and car loans mount. The levels of shame, stress and humiliation that follow mean that there are very human emotions displayed including avoidance, frustration, anger and fear.

Even when a problem isn’t driven by a change in circumstances, stress from any sort of financial issue is usually very high. AFCA generally only becomes involved after a consumer has been trying to resolve their issue with their provider for weeks, months or sometimes years.

Understanding the big picture – the whole personal context behind a complaint – can help unpack these issues and move towards resolution. Consumers might be experiencing other issues such as relationship or family breakdown, unemployment, mental illness or accessibility difficulties. This means their complaint isn’t a straightforward financial problem.

Identifying and acknowledging these complexities, being clear on limitations to resolving the complaint and referring to other specialised services where possible is part of the ‘resolution mindset’ needed to advance resolutions for customers.

Read the full article on ANZ Bluenotes.