A New Federal Financial Consumer Protection Framework

On October 29, 2018, the federal government introduced Bill C-86, Budget Implementation Act, 2018, No. 2 (Bill C-86), the second omnibus budget bill of 2018. If passed, Bill C-86 will, among other things, amend the Bank Act to provide for a financial consumer protection framework (Framework) for banks and authorized foreign banks. The Framework is primarily set out in a new Part XII.2 of the Bank Act, with new whistleblowing provisions set out in a new Part XVI.1. While Bill C-86 proposes other changes of interest to federal financial institutions, this bulletin focuses on the significant changes that are proposed under the Framework and Part XVI.1, as well as accompanying changes to the Financial Consumer Agency of Canada Act (FCAC Act).