Nature of the organization: Self-regulatory organization
Introduction: The Financial Dispute Resolution Commission (FDRC) was created by experienced financial professionals and lawyers to serve financial institutions, including foreign exchange brokers, asset managers, trust funds and payment service providers. The UK FDRC is a neutral third party financial dispute resolution centre.
The UK FDRC is supervised by the Advisory Council. The members of the Advisory Council are composed of financial institutions (FDRC members) and investors. There are five members in total: including an independent chairman, two industry representatives and two investor representatives. , the term of membership is two years.
The Financial Dispute Resolution Commission (FDRC) in the UK has an Independent Panel of experts who provide professional advice to scheme assessors.
The UK Financial Dispute Resolution Commission (FDRC) also has In-house Experts dedicated to managing conflicts.
The UK Financial Dispute Resolution Commission (FDRC) offers a three-level complaints process designed to resolve disputes effectively and thoroughly.
Dispute Resolution Process
1. Scope of dispute acceptance
(1) The complaint is against a FDRC member company (new members pay an annual fee of £50,000, and the annual renewal fee is £10,000, and must be a UK company); if the financial service provider is no longer a member of the FDRC, the complaint involves The matter must occur when the financial service provider is a member of the FDRC;
(2) The complaint involves an alleged breach of contract, statutory obligation, industry regulation or any other legal obligation, or involves improper conduct (but need not be stated in the complaint)
(3) The complainant is an individual or institution (less than 20 full-time employees) who has received or has been unable to receive the financial services in question; FDRC may accept complaints from large organizations at its discretion
(4) The customer is a retail customer (non-institutional customer, non-professional customer)
2. Dispute Resolution Process
(1) Submit a complaint to the UK Financial Dispute Resolution Commission (FDRC)
Customers can lodge a complaint with the UK Financial Dispute Resolution Commission (FDRC) within 45 days of the dispute. However, the FDRC requires customers to contact their financial services provider first and try to resolve the issue. If clients require contact information for financial service providers, please email [email protected]
Member firms are required to notify customers within 5 days of receipt of a complaint and within 14 days to respond to the complaint in accordance with the member firm's Internal Dispute Resolution (IDR) procedures.
If the investor does not receive a response from the member company within 14 days, or is not satisfied with its response, the investor can submit a complaint to the FDRC at that time.
(2) Investigation stage
FDRC will investigate the complaint and verify its authenticity and validity within 5 working days.
The FDRC team leader will contact customers and member companies within 5 working days to obtain all relevant information and try to resolve complaints during the investigation stage.
If the complaint cannot be resolved during the investigation stage, the case will be taken over by the FDRC team and proceed to the decision stage.
(3) Decision stage
The final decision on the complaint will be made by the FDRC team based on all documents and information gathered during the decision phase.
If additional information is required, the FDRC team will contact the client or member company directly. Any party that receives the supplementary information needs to respond within 7 days.
(4) Judgment and Compensation Stage
If the investor accepts the final ruling, the final decision of the FDRC team has a binding effect on the financial company.
If the investor accepts the final ruling from the FDRC team, he needs to accept the ruling within 14 days. If no response is made within 14 days, the FDRC team will acquiesce that the dispute complaint is closed.
Financial companies must complete the payment within 28 days of the final ruling taking effect.
If the FDRC team decides that the financial company wins the case, then within 7 days of the final ruling taking effect, the investor needs to notify the financial company in writing to accept the ruling.
Dispute Resolution Form
Customer Frequently Asked Questions (FAQs)
1. What is the UK Financial Dispute Resolution Commission (FDRC)?
The Financial Dispute Resolution Board is an External Dispute Resolution (EDR) body that assists its member financial service providers in resolving unresolvable disputes with consumers/traders.
The Financial Dispute Resolution Commission offers a new type of dispute resolution solution for traders and financial service providers in the foreign exchange market
The Financial Dispute Resolution Commission accepts various monetary value-related complaints, allowing traders to be treated fairly, and also allowing financial service providers to directly respond and explain unreasonable complaints from customers.
2. What are the goals of the Financial Dispute Resolution Commission?
The goal of the Financial Dispute Resolution Commission is to establish a neutral third-party institution that is simpler, more efficient, and more convenient than traditional regulatory agencies and judicial systems to fairly review, mediate, and resolve disputes.
3. What are the processing steps after a customer submits a complaint to the Financial Dispute Resolution Commission?
When a complaint is received by the Financial Dispute Resolution Board, the first step will be to ensure that the member firm has received the complaint and that the member firm has started using Internal Dispute Resolution (IDR) procedures to handle the complaint.
The Financial Dispute Resolution Board regulations clearly state that each member firm must have a designated auditor to contact customers and use Internal Dispute Resolution (IDR) procedures for complaint handling.
Internal Dispute Resolution (IDR) procedures require you to provide a truthful response within 10 business days. Authentic responses include:
a. The customer's complaint has been understood and
b. and begin processing client compensation, or
c. Reject the content of the complaint and provide the reason for rejection
If clients are dissatisfied with the Internal Dispute Resolution (IDR) process, they will be able to lodge a formal complaint handling request with the Financial Dispute Resolution Board.
4. How exactly does the Dispute Resolution Board work?
When the Dispute Resolution Committee receives a complaint, the Dispute Resolution Committee will verify whether the member firm has followed the formal process to mediate the client's complaint. If the member company and the client cannot reach a mutually agreed solution, the complaint will be handled by the Dispute Resolution Committee.
The Dispute Resolution Committee will collect all necessary information from both the member company and the client, as well as the testimony of both parties.
Review will begin as soon as the Dispute Resolution Committee has gathered all information from both parties. If more information is required, the Dispute Resolution Committee will contact the member firm or the client directly.
A final decision will be made after the Dispute Resolution Committee has reviewed all the information. The final decision will include details of the appeal, a detailed explanation of the decision, and the final decision and complaint resolution.
5. What is the Dispute Resolution Fund and how is it used?
The Dispute Resolution Fund is equivalent to insurance for member companies. The funds will be held in a separate bank account and will only be used if the member firm cannot resolve disputes with customers.
The Financial Dispute Resolution Commission will allocate 10% of its member companies' monthly membership fees as dispute resolution funds. Dispute resolution fees are capped at $10,000 per A-tier member firm client and $5,000 per B-tier member firm client.
The funds are used only to resolve disputes mediated by the Financial Dispute Resolution Board, and not all clients of member firms are entitled to payment from the Dispute Resolution Fund. In the event of a shortage of funds due to an excessive number of complaints against a member company, the current balance of funds will be distributed equally among all complainants.
6. What is the minimum amount for a complaint?
The Financial Dispute Resolution Board accepts any complaints involving monetary value. If the amount of the complaint is less than $250, the Dispute Resolution Board will send 1 person to investigate. If the amount of the complaint is greater than $250, the Dispute Resolution Committee will send no fewer than 3 officers to investigate.
7. Does the Financial Dispute Resolution Commission maintain independence from all financial service providers and regulators?
The decision-making process and management of the Dispute Resolution Committee are independent of its member firms and their industry sectors.
Dispute Resolution Committee (DRC):
a. is solely responsible for the handling of complaints and decisions; and
b. Only have the right to interpret the board of directors of the Financial Dispute Mediation Committee
The FDC Board oversees the operation of the Dispute Resolution Committee and ensures the independence and integrity of the decisions made by the FDC and the Dispute Resolution Process when dealing with complaints.
To ensure that the Financial Dispute Resolution Committee can continue to maintain its independence in any conflict of interest, the composition of the Board of Directors includes:
a. Independent Chairman of the Board; and
b. The Dispute Resolution Committee has no member companies
The Financial Dispute Resolution Committee and the Dispute Resolution Committee have no employment relationship with any financial brokerage, and their decisions are not affiliated with any regulatory agency.
8. Will the Financial Dispute Resolution Commission publish their findings?
Complaints and rulings will only be provided to member companies and complainants. This information will not be made public unless the member company does not comply with the ruling. Note: From time to time, the Commission may issue anonymous random complaints with any personally identifiable information removed for educational and comparative purposes.
9. What if the client is not satisfied with the result of the ruling?
If dissatisfied with the outcome, the client must appeal to the Financial Dispute Resolution Board within 10 working days of the original decision, which must provide new information or point out deficiencies in the decision-making process. The Chair of the Financial Dispute Resolution Committee will review the appeal and make a final decision within 5 working days.
Phone: +44 844 774 7710
Email: [email protected]
Address: 5 The North Colonnade, London E14 5HS , United Kingdom
CSRC, established in October 1992, is a ministerial-level institution directly under the State Council. It supervises and manages the national securities and futures market in accordance with laws, regulations and the authorization of the State Council, maintains the order of the securities and futures market, and guarantees its legal operation.