NAB pays USD 751,200 in penalties over alleged data rights breaches

ACCC’s infringement notices are associated with NAB’s alleged failures to disclose, or accurately disclose, credit limit data in response to four requests made by different CDR-accredited providers on behalf of consumers.

What is the CDR?

The CDR serves as a nationwide data-sharing programme that allows Australians to benefit from the data that businesses hold about them. To be effective, the data that a consumer has consented to share must be accurate, up-to-date, complete, and in the required format. According to the ACCC, poor data quality prevents consumers from experiencing the complete benefits provided by the CDR. Additionally, when financial institutions or energy companies do not offer accurate data, consumers are not able to take advantage of CDR services to compare accurate data, identify better deals, manage their finances, or make informed decisions about product switching.

Furthermore, specifically relating to NAB’s case, not providing accurate information about credit card limits impacted the service that several fintech companies offered to consumers, including some who facilitate mortgage broking tools using CDR data. These tools are developed to equip consumers with efficient and more secure loan applications which better utilise their data.

At the time of writing, NAB’s payment for these penalties represented the highest amount given for alleged contraventions of the CDR Rules to date. According to the ACCC, NAB cooperated with the organisation’s investigation and has rectified the data quality issues identified.

Latest news from NAB