OMBUD COUNCIL DESIGNATES FAIS OMBUD TO DEAL WITH CERTAIN COMPLAINTS NOT COVERED BY OTHER SCHEMES
The Ombud Council is mandated to facilitate access by financial customers to appropriate ombuds. Section 211(1)(a) of the Financial Sector Regulation Act, 2017 empowers the Ombud Council to designate an existing ombud scheme to deal with and resolve complaints that are not covered by another recognised industry ombud scheme or statutory scheme. This enables the Ombud Council to broaden financial customer protection by closing jurisdictional gaps in the ombud system.
The Ombud Council has on 24 June 2022 designated the statutory Ombud for Financial Services Providers (FAIS Ombud) to deal with and resolve certain complaints against financial institutions where the complaint does not already fall within the scope of the FAIS Ombud, the Pension Funds Adjudicator, or a recognised industry ombud scheme. The designation, which may be accessed here [insert link to designation letter] sets out full details of the scope of the designation.
The designation continues a “catch-all” complaint handling function previously performed by the FAIS Ombud in terms of the repealed Financial Sector Ombud Schemes (FSOS) Act, 2004.