Publication of the new draft bill establishing the Independent Administrative Authority for the Protection of Financial Customers regarding out-of-court resolution of disputes between financial institutions and their customers.
Key aspects
- The Financial Authority is set up as a public system for out-of-court dispute resolution between financial institutions and customers. It seeks to protect the general and individual interests of consumers of financial services.
- Decisions on rules of conduct and unfair terms will be binding for claims of less than €20,000.
- It will apply to complaints from financial customers in relation to the contracting or provision of financial services arising from non-compliance with the rules of conduct or good financial practices or from unfair contract terms.
- The dispute resolution system will be financed through a fee charged to the financial entities based on the costs incurred by the Financial Authority, the complaints resolved and the decisions favorable to claimants.