Heritage Bank reveals why customers are asked personal questions upon withdrawing or depositing funds

Have you ever wondered why a bank teller asks somewhat personal questions, like what your money will be spent on, or where you got your cash? The Chronicle has the answers here.

Have you ever been caught off guard by bank staff asking somewhat personal questions as you withdraw or deposit money? You are not alone.

Heritage Bank CEO Peter Lock has explained why his staff were instructed to question clients during visits, after a Chronicle reader submitted their thoughts.

“Does anyone else have a problem with bank tellers asking personal questions as to where you are going to spend the money you just withdrew or did you sell something when you make a cash deposit? Very annoying,” J from Toowoomba wrote in The Chronicle on July 25.

“I guess it is part of their training from management. Please stop this.”

Mr Lock said the reason for the questions were behind fighting crime and fraud in the district.

“I sometimes see complaints from customers who feel our staff are being too nosy about their finances, or asking questions that are none of their business,” he said.

“After all, these customers reason, it’s my money so it’s up to me where it came from and what I do with it.

Heritage Bank CEO Peter Lock said his staff are constantly fighting against financial crime.

“Well, I can assure everyone that our people aren’t simply being nosy – they’re asking these questions because they are on the front line of the fight against financial crime and fraud.”

In 2021, The Australian Competition and Consumer Commission reported at least $2 billion was lost to scammers in Australia.

Mr Lock said people in vulnerable situations were often hit hardest, as scammers and fraudsters were constantly finding new ways to target people’s saving.

The ACCC reported that people above 65 were more common to be victims of financial crime.

Heritage Bank runs educational campaigns through social media and other publications to raise awareness to their clients about scams, and have fraud monitoring systems to raise any red flags.

“As a financial institution, we have a duty of care to protect the money that people entrust us with, and to take action to try to prevent customers from being ripped off,” he said.

“And that’s also why our staff will ask extra questions about transactions they think could potentially be suspicious, or take extra steps to verify the identity of the person they’re dealing with.

“It’s not about invading someone’s privacy or being nosy about finances. It’s about keeping people’s money safe.”

According to Mr Lock, his staff were required to be constantly vigilant as scammers and fraudsters adapted their tactics in attempt to secure funds.

As part of ongoing protection of data and funds, bank staff have strict procedures to correctly identify customers and record and report transactions over a certain dollar value.

“So next time you’re in a bank branch, or talking to someone from a bank’s call centre, don’t feel upset if they ask you questions that might seem too personal,” Mr Lock said.

“Instead, feel thankful that the bank workers are doing their bit to keep your money safe and sound.”