There was plenty of media coverage surrounding the release of
the Bi-Annual report of the FSO last month.
The review confirmed that the FSO had recorded an increase of 27%
in reports compared to the corresponding period in 2012. In
publishing the review, the FSO was critical generally of financial
institutions and of the approach of some sectors to complaints
received. It confirmed that the complaint outcomes indicated that
Banking as a sector had the highest percentage of complaints upheld
against it - with 10% more recorded than in respect of the
insurance and investment sectors.
A copy of the review is available here.
The Ministerial Order necessary to effect the new powers in
the Central Bank (Supervision and Enforcement) Act 2013 took effect
on 1 September 2013. The FSO now has the power to name
regulated financial service providers who have at least three
complaints against them substantiated.
In confirming the signing of the Order, the Minister for Finance
stated that "this additional provision will mean that
financial service providers who are failing their customers will be
publically identified and incentivised to make real
improvements".
The FSO may publish the first report containing these details in
early 2014 and clients should consider reviewing their
approach to complaints. The Group already offers a review
service to clients in respect of all regulatory issues, including
the adequacy of regulatory policies and procedures adopted by
clients in order to meet legislative and other
requirements. We would be happy to offer this
service in respect of clients' complaints processes and
procedures.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
