Liberal MP pushing for banking tribunal

A Liberal MP is still pushing for a banking tribunal with the power to backdate cases in a bid to help compensate victims, including those from Timbercorp.

Craig Kelly is a member of of the House of Representatives Economics Committee, which is grilling bank bosses this week at the request of Prime Minister Malcolm Turnbull, who disagrees with holding a royal commission.

"We need a banking tribunal which enables people in the Timbercorp case to actually take that case to a low-cost tribunal where they can subpoena documents and actually get a result," he told ABC radio on Wednesday.

Bankers Association chief executive Steven Munchenberg agrees customers need to have their complaints dealt with promptly and externally.

"We have been happy to look at how a tribunal might work in that context," he told the Nine Network.

Labor's financial services spokesperson Katy Gallagher said a tribunal would deal with people after they've been "burnt" by the banking system and potentially have lost their savings, businesses and homes.

"It won't actually stop some of these occurring in the first place," she told ABC radio, still pushing for a royal commission.