No compo out of bank royal commission: PM

Malcolm Turnbull says ripped-off bank customers won't benefit from a royal commission.

The prime minister was responding to a Labor question in parliament on Thursday about a Newcastle single mum named Michelle who was talked into a mortgage by a dodgy financial adviser.

"I imagine what her constituent seeks is compensation, recompense, justice, some form of compensation for the losses she incurred and the best that the Labor party can do is offer her a royal commission," Mr Turnbull said.

The Senate on Thursday passed a motion calling on Mr Turnbull to order a banking royal commission.