Over two days in early September, FOS hosted a delegation from the Central Bank of Malaysia’s (BNM) LINK program.
The LINK program represents one of BNM’s important points of contact with the general public, acting as a centralised unit that facilitates rapid and effective responses for the public and small and medium enterprises for financial matters. LINK also holds exhibitions, self-service kiosks, booklets, and has a mobile office, all designed to help members of the public with financial concerns they may have, and improve financial literacy across Malaysia.
The key purpose of the visit was to gain an overview of how FOS operates in resolving financial disputes and assisting financial services providers in improving their interactions with consumers.
The delegation shared with FOS how BNM is establishing an annual rating system to identify best practices in complaint handling in the financial sector, which Malaysian FSPs will be measured against. The purpose of the rating system is two-fold: to provide information to consumers about which FSPs are operating at, or close to, best practice standards, and to assist FSPs to improve their complaint handling systems and strengthen their relationship with consumers. It will also identify key issues in financial dispute resolution, allowing policy-makers to target legislation towards areas needing improvement.
“As a well-established EDR scheme, FOS has been able to implement robust and effective dispute resolution mechanisms, and has a history of co-operative relationships with FSPs in encouraging them to adopt best practice IDR processes.” said Jenny Peachey, EGM, Corporate Strategy and Services. “We’re always happy to share our knowledge and experience with dispute resolution schemes from all over the world.
“And it’s definitely not a one-way street, as we learnt about some interesting initiatives undertaken by BNM, especially around promoting financial literacy. I know their mobile office is something a number of people were quite interested in!”