ABA WELCOMES PROGRESS ON THE DEVELOPMENT
OF A NATIONAL ELECTRONIC CONVEYANCING SYSTEM

Sydney, 3 November, 2005: The Australian Bankers’ Association (ABA) supports the development of a National Electronic Conveyancing System and the establishment of an office in Melbourne to coordinate the national effort.

The ABA welcomes the statement by the Victorian Planning Minister, Rob Hulls, who is today scheduled to provide an update to the Standing Committee of Attorneys-General meeting in Sydney on the steps that have been taken so far.

The support of the Standing Committee of Attorneys-General is an important element in achieving a national system.

The electronic conveyancing system is designed to replace the paper system which currently exists for the transfer of ownership of property. The process to move to a national e-conveyancing system has been collaborative. It included the Victorian and NSW Governments, in consultation with other State and Territory Governments, banks, other financiers, the legal and conveyancing professions.

The ABA believes it is important that a system is adopted by all States and Terrorities to ensure uniformity of the settlement and lodgement process.

David Bell, Chief Executive of the ABA, said there are substantial benefits for consumers and business in moving from an outdated paper system to an efficient electronic system.

“An electronic system removes the need for cheques from financial institutions and reduces delays for the customer who has to wait for the cheques to clear. It also provides the purchaser with certainty as to when they can move into their new home.  Once all parties have committed to the transaction, the purchaser can be assured that settlement will occur on the designated date.  The manual cheque drawing and depositing will be replaced by transferring money electronically.”

“It will also remove the need for parties to attend settlements which is particularly important if you are a property buyer or seller, transacting far from home.”

“Conveyancing information will still be supplied to solicitors, conveyancers and financial institutions and it can be checked online.”

The ABA said Australians would benefit from a national system. Building a national system may take some time but it would be hoped that once it is in place, efficiency benefits and cost savings, may be delivered to the community.

The ABA said the industry looks forward to studying the results of next year’s pilot of the Victorian electronic conveyancing system in which five ABA member banks are participating.

For further information:

Heather Wellard
Director, Public Relations
Phone: 02 8298 0411
Mobile: 0409 830 439

ENDS