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NAB Consumer Credit Insurance Class Action

In 2020, law firm Slater and Gordon settled a class action against the National Australian Bank (NAB) and MLC Limited (MLC) on behalf of customers who were mis-sold consumer credit insurance (CCI) for their credit card and/or personal loan for $49.5 million.

What was the NAB CCI Class Action about?

In September 2018, Slater and Gordon filed a class action against NAB and MLC Limited in the Federal Court of Australia for consumers who held CCI for their credit card or personal loan for the following for products:

  1. NAB Credit Card Cover (NAB Cover) at any time since 26 September 2012; and/or
  2. NAB Personal Loan Cover (NAB PLC) at any time since 13 June 2013.

The class action alleged NAB and subsidiary MLC engaged in unconscionable conduct in selling consumer credit insurance (CCI) to customers.

Settlement

On 8 May 2020, Justice Lee of the Federal Court approved the $49.5 million settlement with NAB and MLC Limited in its class action over the sale of credit card and personal loan CCI products.

The proceeding has now been finalised. All settlement payments to Group Members have been distributed.

What if I did not receive the notice?

Thousands of members may not have received their opt-notice because they have changed addresses and did not register for compensation in time – which means they may not be able to get a refund on junk insurance. This is because members are legally bound by the decision of the court or settlement unless they opted-out of the proceedings.

You must contact the law firm Slater and Gordon for any enquiries or questions about the NAB Consumer Credit Insurance Class Action.

Australian opt-out model

Australian Class Actions use an opt-out model. This means that all people affected by the event or circumstance become members of the class action whether they intended to or not. These members are legally bound by the decision of the court or settlement unless they opt-outed of the proceedings

DISCLAIMER: This article does not provide legal or financial advice. Any information in this article is designed to provide information to consumers who want to learn more about class actions. All information is general in nature. Claimo is not liable for any loss caused, whether due to negligence or otherwise arising from use of, or reliance on, the information provided directly or indirectly, by use of this service.  Consider whether the service is right for you. If you are unsure, seek independent legal advice.