Proposed changes to the Future of Financial Advice (FOFA) legislation have been scrapped at the bill’s second reading in the Senate.

But advisers can now continue charging fees 60 days after a renewal notice, instead of 30 days as originally set down.

The Association of Financial Advisers has welcomed the move, but CEO Brad Fox wants opt-in notices increased to 60 days too.

“Presently, consumers remain at risk of inadvertently not returning an opt-in notice before the deadline through travel, health, bereavement or other issues,” he said.

“To reinstate their relationship with their adviser will come at an additional cost to them, for what could be a simple oversight.”

Finance Minister Mathias Cormann told the Senate the altered payment timeframe is more realistic for advisers.

“During consultation, a number of stakeholders supported the extension of the timeframes for fee recipients to provide their statements,” he said. “I noted that the 30-day timeframe was not long enough to properly prepare and quality-assure these documents, particularly because information is usually needed to be sourced from third parties.

“The extension of the timeframe will also be beneficial for consumers in ensuring they receive documentation that contains accurate information.”

Greens senator Peter Whish-Wilson criticised the move, arguing the Senate was not given enough time to scrutinise the change, and 30 days was adequate.

“Most financial advisers have good databases,” he said.

“The information systems would have advance notice of the requirement for an opt-in and that still gives them a month to do follow-up work on those clients.”

Labor senator Sam Dastyari says the legislation is a “series of well-negotiated, bipartisan suggestions and proposals on how implementation of the FOFA reforms can be improved in a practical, sensible and reasonable manner”.

“The industry has been crying out for certainty and it has been crying out to make sure there is one fixed set of rules,” he said.

“I think there was an acknowledgement from the Government – rightly so, I believe – that the biggest mistake we can make now is having a long debate that provides uncertainty to the industry about what the standard is and what the requirements are going to be.”

The legislation has now returned to the House of Representatives, where a debate on the amended bill is expected.