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Major call after $55m ripped from homeowners
['Cameron Micallef', 'Min Read']
Yahoo Finance - Business finance, stock market, quotes, news
About 1.8 million Australian mortgage holders are being urged to check their offset accounts.
A new report by the Australian Securities and Investments Commission found lenders had to repay $55m to thousands of customers in compensation due to offset accounts not being used properly.
Canstar data insights director Sally Tindall said offset accounts were a powerful tool but only if they are used properly.
The report follows RBA data that shows 55 per cent of mortgages or 1.8 million Australians have an offset account, with $349bn stashed in them collectively.
"When offset accounts don't operate correctly, the harm can be hidden.