October 30th, 2012 / Insight posted in

Are your complaints compliant?

Recently the FSA has issued a plethora of new measures in an attempt to improve complaint handling standards.

The new requirements apply to all regulated business activities and products sold.

The main changes and dates are:

  • September 1, 2011 retailers must have identified a senior person to take responsibility for overseeing complaints handling. From the same date dealers have to demonstrate they have put into place a process to identify any recurring or systemic problems. 
  • Previous guidance only required firms to undertake such a review for Payment Protection Insurance complaints, but from September this guidance extends to any product sold.
  • The new guidance also expects retailers to take account of ombudsman decisions as well as previous customer complaints they have received and to consider the position of non-complainants where systemic problems are identified.
  • From July 1, 2012 the “two-stage” complaints handling rule is being abolished aimed at ensuring retailers resolve complaints fairly.
  • From July 1, 2012 the limit on awards made by the Financial Ombudsman Services increases from £100,000 to £150,000.

Finally, the FSA announced that they will shortly issue a joint statement with the Ministry of Justice, the Financial Ombudsman Service and the Financial Services Compensation Scheme on the actions of claims management companies.

We will keep you updated on any further comments from the FSA.

For further information on how to ensure your business is compliant contact Janice Riches, Lead Partner for Automotive onjriches@mks.co.uk, or 020 7566 3804

For full guidance and more detailed information visit www.fsa.gov.uk