Financial Rights Legal Centre ran a class action in the Federal Court of Australia seeking compensation for consumers who entered into the standard service agreement contracts with MyBudget Pty Ltd that include the following wording:
Client funds are held in an interest bearing account arranged by MyBudget. Interest is not payable to clients on funds held in your MyBudget Account. Credit interest on client funds will be applied by MyBudget in its discretion to pay bank fees on the account.
This wording appeared in the standard terms of service from 2011 to 2015.
The Hon Justice Lee handed down his decision in this matter on 18 September 2018, dismissing the originating application.
A copy of the judgment can be found on the Federal Court of Australia website at:
In short, this means, unfortunately, that the class action was unsuccessful. All group members who did not opt out of the proceedings are bound by the decision.
As indicated in the Opt Out Notice, individual group members are not liable for any costs in relation to the proceedings.
On 8 October 2018, Justice Lee handed down his judgment in relation to costs. No costs order was made against the lead applicant.
A copy of the costs judgment can be found on the Federal Court of Australia website at:
If you have any other concerns in relation to your contract with MyBudget, please contact us at email@example.com