Financial Ombudsman given the power to name and shame

[Time]

http://www.rte.ie/news/business/2013/0827/470601-financial-ombudsman/

Finance Minister Michael Noonan has given the Financial Services Ombudsman the power to ''name and shame'' financial service providers who have at least three complaints against them substantiated.
The Minister said he had today signed a Statutory Instrument commencing section 72 of the Central Bank (Supervision and Enforcement) Act 2013.
Mr Noonan said that this additional provision will mean that financial service providers who are failing their customers will be publicly identified and incentivised to make real improvements.
The section will come into effect on September 1.
The Financial Services Ombudsman, Bill Prasifka, has made repeated calls for the power to name and shame financial service providers.
In the past he had said that naming banks that are the subject of complaints to his office would create a "virtuous competition" in the institutions' behaviour towards customers.
He said making the complaints record of individual banks public would influence how they behave.
Mr Prasifka said the measure would be in the public interest, could be done at no cost to the exchequer, and should have been introduced a long time ago.
In a statement today, Mr Noonan said he understands that the Ombudsman intends to publish his first report with the names of those offending financial services providers early next year.

Long overdue in my opinion.

 

[Gerry Canning]

Time;

I agree it is long overdue, but naming institutions who have turned bad consumer behaviour into an Art Form ,and these same institutions know we have no real competition will mean very little.
Had Mr Noonan and his amigos in the Central Bank said that were an institution is repeatedly shown to have erred and had he said to the Provider that said error be AUTOMATICALLY a financial hit on the Providers I would then see merit.Believe me when Banks have to repay then they will listen.
Sounds like a bit of sticking plaster over gaping mis-selling wounds !

 

[Brendan Burgess]

[FONT=&quot]Minister for Finance gives the Financial Services Ombudsman the power to name and shame financial service providers[/FONT]​

[FONT=&quot] [/FONT]
[FONT=&quot]The Minister for Finance, Michael Noonan T.D., today signed a Statutory Instrument commencing section 72 of the Central Bank (Supervision and Enforcement) Act 2013. The Minister stated:[/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]“I have given the Financial Services Ombudsman the power to name financial service providers who have at least three complaints against them substantiated. 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 section will come into effect on 1st September.” [/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]The Minister stated that the Financial Services Ombudsman was consulted on the provisions of the legislation during its preparation and its passage through the Oireachtas. The Minister understands that the Ombudsman intends to publish his first report with these details early in 2014. [/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]27th August 2013[/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]Ends[/FONT]

 

[Gerry Canning]

Brendan;

At this remit , naming and shaming is like putting a plaster over a gaping wound !.

Had Mr Noonan said that after 3 substantiated complaints the Providers must pay out on future claims as to those complained about , the Providers would listen.
I would ask Mr Noonan how will he otherwise (incentivise) providers?

 

[Brendan Burgess]

Bill Prasifka was on Drivetime tonight.
It seems as if he is planning to provide statistics, rather than case studies.

It will be very interesting to see how the €397k in compensation he awarded in total in the first 6 months of this year was split.

He claimed to have huge powers to award compensation of up to €250,000. Well why does he not exercise it then?

 

[Sumatra]

The consumer already knows some of the psycological complexes of these providers. This new power can only produce the statistic that naming them won't make them ashamed and that small fines will only make them laugh.

 

[MrEarl]

....He claimed to have huge powers to award compensation of up to €250,000. Well why does he not exercise it then?

Possibly because the funds paid out in compensation are funded by levies collected from all participating financial institutions - which are pretty much all funded by Irish taxpayers these days & as such, he'd effectively be giving large awards to individuals, from taxpayers funds (and hence, putting a further financial burden on the taxpayer, while the Banks institutions concerned continue to rely on taxpayers funds) ?

 

[Gerry Canning]

Mr Earl;
On ppi (my subject) over 50% of my claims are from Foreign Entities eg Ge, Ulster, Mbna.
There is an incorrect notion that mostClaims end up on Mr Taxpayers lap. As you can see they do not.

In money terms it means a win-win for Ireland, in that we @ least get 50% from Foreign Comp with NO cost atall to us !!