Meta has introduced ‘Core Setup’ data restrictions for financial services advertisers on Facebook and Instagram in Australia.

Aimed at reducing scams, these restrictions punishes legitimate financial businesses operating within the law.

What Are Meta’s ‘Core Restrictions’?

Meta now categorises financial services as high-risk, limiting how these businesses can collect and use data through Meta’s Business Tools. The key changes include:

• Blocked Custom Parameters – Advertisers can no longer use certain data fields, affecting audience segmentation.
• Stripped URL Data – Anything other than the domain cannot be used.
• Reduced Custom Audience Functionality – Retargeting and lookalike audiences relying on restricted data may not work.
• Disruptions to Advanced Matching – Automated matching for personalisation is no longer available.

These restrictions affect financial services companies regardless of their licensing or compliance status.

The Unintended Consequences

While targeting fraudulent ads is necessary, Meta’s broad restrictions fail to distinguish between scam advertisers and legitimate financial businesses. As a result, compliant businesses face:

• Declining Ad Performance – Reduced audience targeting can lower conversion rates and increase costs.
• Difficulty Preventing Fraud – Financial services use Meta’s tools to detect fraudulent users; restrictions make this harder.
• Competitive Disadvantages – With Meta imposing strict controls, businesses may shift ad spend to Google, LinkedIn, or other platforms. This has definitely caused us to shift our focus and our money.

A Better Approach?

Instead of applying blanket restrictions, Meta could:

• Implement enhanced vetting to detect scam advertisers.
• Work directly with ASIC (Australian Securities and Investments Commission) to verify licensed businesses.
• Provide exemptions for businesses with an Australian Financial Services Licence (AFSL).

Workaround: Setting Up Custom Events for Page Views