Six banking and financial services institutions who charged customers fees for services they did not receive have paid or offered a total of $4.7 billion in compensation as at the end of last year, the Australian Securities and Investments Commission (ASIC) says.

ASIC says the figure includes $1.1 billion paid or offered between July and December by AMP, ANZ, CBA, Macquarie, NAB and Westpac.

The six financial services providers undertook reviews and remediation programs after ASIC carried out two inquiries to look into the matter. ASIC looked at the extent of failure to provide ongoing advice to customers who were paying fees for those services and how effectively the six supervised their financial advisers to identify and deal with “non-compliant advice”.

“ASIC compensation for financial advice related misconduct project has shone a light on the advice fees that customers are paying and the services they should be receiving in return,” Commissioner Danielle Press said.

“The subsequent programs have resulted in very significant remediation payments to affected consumers.”

She says the compensation update will be the final one as most of the remediation programs are substantially complete.

However, ASIC will continue to monitor the six financial services providers’ processes to complete ongoing work in this area, she said.

Here is the breakdown of compensation paid as provided by ASIC:

AMP paid or offered $636.62 million to 340,573 customers for fees for no service misconduct and $42.61 million to 2844 customers for non-compliant advice

ANZ paid or offered $308.59 million to 79,643 customers for fees for no service misconduct and $44.7 million to 2123 customers for non-compliant advice

CBA paid or offered $1.11 billion to 250,298 customers for fees for no service misconduct and $9.35 million to 626 customers for non-compliant advice

Macquarie paid or offered $4.62 million to 1105 customers for fees for no service misconduct

NAB paid or offered $1.37 billion to 799,990 customers for fees for no service misconduct and $114.75 million to 3034 customers for non-compliant advice

Westpac paid or offered $970.33 million to 119,080 customers for fees for no service misconduct and $58.78 million to 3341 customers for non-compliant advice.