Financial complaints services...

If you have a complaint against a financial service provider (including banks, insurers, KiwiSaver, finance companies etc), it is possible to make that complaint to a free customer complaint service.  Every financial provider has to be a member of a complaint’s resolution service.  There are currently four complaints services (The Banking Ombudsman, The Insurance & Financial Services Ombudsman, The Financial Dispute Resolution Service and Financial Services Complaints).

Each of these four services provides similar processes and which one you complain to depends on which scheme your finance organisation belongs to.  Each service provides lists of members that you can check to see who belongs. Organisations will also usually tell the consumer which complaint service they are a member of. If you complain to the incorrect one, they will usually refer you to the correct service or forward on your complaint.

Each service requires you first to make a complaint to the financial organisation and to wait while that process is followed. You must also exhaust any review or appeal processes internally with the financial institution first. If it is unresolved (usually around two months) then you can complain to the relevant Dispute Service.

They will appoint an investigator to then gather information and investigate the complaint.  Each service is independent and not owned or run by the industry or government.  Each service will attempt to resolve matters between the consumer and provider, but if that does not occur, each can make a decision. Before reaching a final decision, it is usual for a preliminary decision to be provided to the parties. They can make comments and provide further information before the decision is finalised. That decision is binding on the financial organisation, but not on the consumer (who can follow other remedies e.g. Disputes Tribunal or Court).

The limit for money claims to the dispute services is $500,000 + GST and compensation for stress etc of up to $10,000 +GST.  For amounts over that consumers need to use the High Court process.

Leading law firms committed to helping clients cost-effectively will have a range of fixed-price Initial Consultations to suit most people’s needs in quickly learning what their options are.  At Rainey Collins we have an experienced team who can answer your questions and put you on the right track.