POWERED BY MOMENTUM MEDIA
AUSTRAC ensures accessibility of superannuation
AUSTRAC has issued updated guidance to ensure individuals who cannot provide traditional identity documents can access superannuation.
There were currently some members of the population who were unable to access traditional identity documents including Aboriginal and Torres Strait Islander people, people in remote communities, gender diverse people and those fleeing domestic violence.
This proved problematic when financial institutions required documentation to access their services.
However, changes meant there were now alternative ways to verify an identity while still satisfying anti-money laundering regulations including referee statements, government correspondence and a community ID.
AUSTRAC chief executive, Nicole Rose, said AUSTRAC was committed to financial inclusion.
“The guidance will help financial institutions adopt flexible and compassionate approaches to customer identity processes, while still maintaining due diligence processes where they are concerned that a customer is not who they claim to be,” Ms Rose said.
“Having flexible customer identification procedures in place is essential to ensure that members of the community can access financial services so that temporary or systemic barriers do not prevent people from gaining this access.”
Australian Institute of Superannuation Trustees (AIST) CEO, Eva Scheerlinck, said: “Some members of the community, particularly the most disadvantaged, are not always in a position to provide traditional forms of identification.
“While verifying the identity of someone is important, those who struggle to do so should not be denied the financial services they need, including their superannuation savings.
“The updated guidelines from AUSTRAC strike the right balance between information security and social inclusion by allowing for flexibility in procedures.”
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
Recommended for you
A member body representing some prominent wealth managers is concerned super funds’ dominance is sidelining small companies in capital markets.
Earlier this month, several Australian superannuation funds fell victim to credential stuffing attacks, which saw a small number of members lose more than $500,000.
Small- to medium-sized funds have become collateral damage in an "imperfect" model for super industry levies, a financial institution has said.
Big business has joined the chorus of opposition against the proposed Division 296 tax.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
90.28 3 y p.a(%)
2
GAM LSA Private Shares AU I
37.08 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.44 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.12 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
28.28 3 y p.a(%)
