Mortgage complaints to Ombudsman up 50pc in first six months
Published 13/10/2011 | 09:43
THE Financial Services Ombudsman has said that the number of mortgage-related complaints against banks increased by 50pc in the first half of this year.
And according to its chief Bill Prasifka, €1.3m in compensation was awarded to people who had their complaints against financial institutions upheld.
The number of banking complaints increased by 14pc with a 50pc increase in mortgage related complaints and a 50pc increase in mortgage protection related complaints.
And complaints about medical health providers were up by 59pc.
The trends show an increase in the number of complaints being made by consumers and an increase in the percentage of complaints being upheld.
Mr Prasifka added that he had been struck by the very different records of some regulated institutions, with relatively few complaints made against them upheld, while others had complaints made against them upheld by a percentage far in excess of their peers.
He called the record of financial institutions "disappointing".
"It indicates to me that the industry has not adjusted its practices to the challenges it must confront in dealing with the consequences of the financial crisis."
"It is not in the consumers' or financial institutions' interests for these trends to continue.
‘’Financial institutions must do more to engage with consumers and resolve complaints sooner,'' he cautioned.
"In addition, financial institutions can do more to inform consumers of the consequences of their financial decisions and this should in turn reduce the number of complaints."