Whistle-blower discloses WesBank’s faulty system that overcharges black clients
A former employee of WesBank has disclosed intricate details of an alleged systematic approach by the finance provider to overcharge black clients intentionally, using a specific system. The ex-employee, who maintained anonymity, worked in the IT department as a contractor from 2014 to 2018. According to him, WesBank utilized the acquisition system to determine interest
Whistle-blower discloses WesBank’s faulty system that overcharges black clients
A former employee of WesBank has disclosed intricate details of an alleged systematic approach by the finance provider to overcharge black clients intentionally, using a specific system. The ex-employee, who maintained anonymity, worked in the IT department as a contractor from 2014 to 2018. According to him, WesBank utilized the acquisition system to determine interest rates, deliberately charging black clients more than their white counterparts.
WesBank has refuted these serious allegations, emphasizing that all vehicle finance applications adhere to the National Credit Act’s affordability and credit profile assessment. The bank contends that credit scoring is performed independently by credit bureaus and isn’t influenced by its offices. WesBank emphasized its commitment to treating all customers fairly while offering the best vehicle and asset finance solutions.
Contrary to WesBank’s official stance, the whistle-blower contends that the system was racially biased, asserting that interest rates were determined based on certain risk factors and not credit scores. He claimed that this resulted in black clients being charged up to 18%, compared to the 10% charged to white clients. Similar complaints have been lodged against WesBank, with financial investigator Emerald van Zyl stating that he has received numerous grievances in recent months. Van Zyl alleges that his investigation revealed a significant discrepancy, with black clients being charged up to 18% while white clients paid below 11%.
The whistleblower suspects that the controversial system may still be in use, contributing to numerous complaints against the bank. Financial investigator Van Zyl emphasized that WesBank refused to participate in discussions on the matter despite invitations to various radio stations. The controversy continues to raise questions about fair practices in the finance industry, with allegations of racial discrimination adding a layer of complexity to the situation.
