A consultation paper has been released on terms of reference, governance and funding arrangements for the Australian Financial Complaints Authority (AFCA), the new one-stop dispute resolution body for all financial matters.

AFCA will commence from July 1 next year and aims to provide free, fast and binding dispute resolution for consumers and small businesses.

A transition team, chaired by former Reserve Bank assistant governor Malcolm Edey, has been set up to facilitate a smooth process.

Feedback from the consultation paper will provide the basis of Dr Edey’s advice to the Government. Submissions close on November 20. The paper is available here.