Amendments to the Code of Banking Practice

New amendments were introduced to the banking industry's Code of Banking Practice in order to provide better protection for users of internet banking services.

InternetNZ (Internet Society of New Zealand) expressed concern about an unfair burden of responsibility put by the code on internet banking users which brings more advantages in favor of the banks to an excessive degree.

The society made a suggestion to revise some clauses in the internet banking section of the code so as to enhance the safety of using internet banking services. The changes suggested need to be applied to user liability for unauthorised transactions, the use of secure password facilities and up-to-date computer security software.

"They (the New Zealand Bankers Association) have taken account of our concerns, resulting in a revised code that better protects the interests of users of internet banking services,” says InternetNZ deputy executive director Jordan Carter.
"We are particularly pleased that the reference in the code to banks reserving the right to request access to people's computers to verify protective systems has been removed."