New Zealand banks take tougher position over online fraud

It has been reported that banks with branches in both Australia and New Zealand are taking a tougher approach to reimbursing New Zealand customers hit by online fraud than they are taking with their Australian customers.

The New Zealand Bankers Association (NZBA) has introduced a code of practice providing that customers in New Zealand could be liable for losses made via internet banking. While the Australian Association of Banks has stated that it will not punish customers for internet losses, New Zealand subsidiaries of Australian banks have not given the same assurances.

The NZBA's code of practice requires customers to prove that their computers are protected by adequate software before a bank will cover any fraud losses.

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