Record keeping in ADI authorised account transfers (Reform)
Learn about the record keeping responsibilities of authorised deposit-taking institutions (ADI). This includes both the transferor and transferee.
On this page
Active ADI accounts
This section refers to the Act sections 107, 108 and 109.
When a financial institution (the transferor ADI) transfers an active customer account to another institution (the transferee ADI), it must provide the transferee ADI with any records kept under:
- section 107 (transaction records)
- section 108 (customer-provided transaction records).
Transferor ADI responsibilities
This section refers to the Act sections 107, 108 and 109.
When transferring an active account, you must:
- provide the transferee ADI with transaction records and customer-provided transaction records in relation to the account, either as originals or copies
- make sure you provide the records within 120 days, starting 30 days before the account transfer.
If you meet these requirements, you’re no longer responsible for keeping these records under sections 107 or 108.
If you don’t meet these requirements, you must continue to keep transaction records for 7 years from the day they were made.
For customer-provided transaction documents, you must keep records for 7 years from the date the customer gives them to you, even after the account transfer.
Transferee ADI responsibilities
This section refers to the Act sections 107, 108 and 109.
If you receive the records relating to a transferred account within the 120-day period, you must keep them for 7 years from the date you were given the record.
If you aren’t given the records within this period, you’re not required to keep pre-transfer records under sections 107 or 108 (the transferor would be required to retain these records as they missed the 120 day period). However, to demonstrate you’re meeting your obligations you may choose to keep a record to show you are meeting your AML/CTF program obligations and show that the transferor ADI failed to provide them on time.
Closed ADI accounts
This section refers to the Act sections 107, 108 and 110.
If the transferor ADI holds additional transaction records under sections 107 or 108 for a closed account belonging to the same customer, these records may be transferred if both institutions agree in writing that they should be given.
If transferred, the transferor must provide the records within the same 120-day period as active account records to be released from their retention obligations for these records. The transferee ADI must keep the records for 7 years from the date they were given the record.
Related pages
This guidance sets out how we interpret the Act, along with associated Rules and regulations. Australian courts are ultimately responsible for interpreting these laws and determining if any provisions of these laws are contravened.
The examples and scenarios in this guidance are meant to help explain our interpretation of these laws. They’re not exhaustive or meant to cover every possible scenario.
This guidance provides general information and isn't a substitute for legal advice. This guidance avoids legal language wherever possible and it might include generalisations about the application of the law. Some provisions of the law referred to have exceptions or important qualifications. In most cases your particular circumstances must be taken into account when determining how the law applies to you.