Disgruntled customers hoping a royal commission will publicly air and investigate their misconduct case against a bank or another financial institution are set to be disappointed.
Commissioner Kenneth Hayne QC made it clear the one-year inquiry did not have the time to publicly examine every case of alleged misconduct.
"I understand fully that those affected by what they consider to be misconduct want their complaints recognised and considered and want those responsible held to account," Mr Hayne told the inquiry's initial public hearing.
But he said the commission would have to rely on case studies with a view to identifying the kinds of misconduct that occurred, why it happened and what was - and what should have been - the response.
He noted that in many cases, it had already been established that misconduct or conduct falling short of community standards and expectations occurred or it was now acknowledged or admitted.
The commission tried to temper consumers' expectations by warning it cannot award compensation, refund investors or resolve individual disputes.
The commission will hold a series of public hearings beginning next month, with the first to focus on inappropriate lending in home loans, car loans and credit cards.
Senior counsel assisting the commission Rowena Orr SC said the public hearings represent only one aspect of the inquiry's work and would be supplemented by many other forms of information gathering and analysis.
"A great deal of the commission's work will be conducted through the painstaking task of extracting and reviewing documents and through regular consultation with stakeholders, whether they be members of the public, the regulators or the institutions themselves," Ms Orr said.
The inquiry had already used its compulsory powers to secure information, issuing 32 notices to produce documents.
