New rules may lead to higher bank fees
Thursday 4 November 2004
Bank customers could face higher charges to make up for the tens of millions of dollars banks may have to spend because of planned rules on "outsourcing" services such as account processing.
By The LandlordThe Reserve Bank published yesterday its proposed policy on outsourcing by large banks registered in New Zealand, covering IT processing, accounting and call centres.
The proposed policy would require a large bank's board of directors to have the legal and practical ability to operate their bank standalone if the bank's owner, or another provider of services to the bank, failed.
"The Reserve Bank is not against outsourcing per se, and sees it as part of the fabric of the global financial system," Reserve Bank deputy governor Adrian Orr said.
"However, outsourcing can expose banks, and hence New Zealand's financial system as a whole, to risks that must be managed."
Read More - Opens in a new window
Commenting is closed
It’s full steam ahead for the Stevenson Group’s $800 million, 361-hectare industrial and residential development in South Auckland – despite the uncertainties of the post-Covid-19 era.
Periods of house price decline are rare and "short-lived", says economist Tony Alexander, amid forecasts of a drop of 10%-15% this year.
The Reserve Bank says the commercial property sector is vulnerable to the Covid-19 crisis. But PMG Funds' chief executive believes that while there’ll be short-term pain, the biggest long-term impact will be structural change.