The Financial Services Board (FSB) deputy director of insurance, Jonathan Dixon, reported in Johannesburg, “Customers should be dealt with evenly and we need a protocol established to ensure it is carried out. There will be a shift in how banks interact and relate with their customers, which requires more direct regulating oversight.”
Customers’ base of security in their relationship with banks will be strengthened through the Treating Customers Fairly framework (TCF). This signifies a change in the culture. It is an endless struggle against companies that are constantly seeking to circumvent these measures, though.
“This is an ongoing struggle that we must push through until we achieve the standard of measures that gives customers back their confidence that we are protecting their rights in the relationship with financial institutions.”
Our initial launch into these new areas requires the FSB to shift from a passive to an active methodology. We must take the initiative before the problems compound. That is what the TCF is all about, but it also determines what our actions will be, rather than waiting for something else to happen first.
“Companies must see us enforcing the restrictions when they are tested. The institutions who flaunt fair treatment of their customers must be adequately punished to reduce the chance of repeating it.”