Banks to get grilled on heels of twin scandals

Detailed summary

Two big banks' bosses will be probed by MPs the day after one was hit with accusations of overcharging and the other with a $169 million fine.

National Australia Bank short-changed 66,000 staff over more than a decade, Commonwealth Bank allegedly charged 42,000 customers secret fees for years.

The day after the scandals came to light, their bosses will appear before the federal parliament.

Commonwealth Bank boss Matt Comyn and NAB's Andrew Irvine will be questioned at routine hearings into the big four on Friday.

Westpac and ANZ were quizzed on Thursday but while those hearings unfolded, the financial regulator launched civil penalty proceedings against the Commonwealth Bank over the alleged hidden fees.

The bank had tacked $8.5 million in undisclosed levies to its CommBiz accounts and mishandled complaints about the issue for more than a decade, according to the Australian Securities and Investments Commission.

On the same day, NAB agreed to pay $169 million to staff it had underpaid over 15 years after self reporting to the Fair Work Ombudsman.

The bank was already likely to face heat during Friday's hearings for planning to sack 2500 workers, including outsourcing about 180 roles to Vietnam and India.

That had met a furious response from Labor MP Ed Husic who last week called the move "frankly disturbing" in a social media post.

Mr Husic, who is chairing the two-day hearing block, alluded to the issue again during proceedings on Thursday.

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