EXPERT OPINION
in the ombuds schemes. Also, in this way, the ombud scheme
will align with best practice standards such as independence,
impartiality, confidentiality, transparency, clarity of purpose,
and effectiveness, and to dispel the concerns that the National
Treasury appears to have.
This is extracted from a fully referenced paper by Advocate Clive
Pillay, entitled The Twin Peaks model of financial regulation: the
status of the voluntary Ombudsman in various jurisdictions.
The full paper is available from [email protected].
The policy document
appears to concede that
the voluntary ombuds
system is best suited to
provide customers with
access to simple, effective
and independent resolution
mechanisms...
CONCLUSION
It appears that the independence of the ombud schemes is not
up for debate. Rather, in my opinion, it seems that the debate
ought to be broadly on: (1) whether there exists gaps, overlaps
and inconsistencies in what the ombuds schemes provide;
(2) whether the cost-effectiveness of the schemes could be
enhanced through a greater co-ordination and rationalisation;
and (3) whether the debate should engage the ombuds schemes
on issues such as:
• Access of consumers;
• Funding;
• Accountability;
• Efficiency and effectiveness;
• The nature of disputes considered;
• “Membership” of the schemes – voluntary or compulsory;
• Publication/enforcement of determinations;
• Binding nature of decisions;
• Investigative powers;
• Basis for decision (for example, law and equity);
• Appeal mechanism; and
• Legal representation (permitted or not).
In this way, in my view, consumers will be provided with
a speedy and affordable redress to address complaints and
resolve disputes. In South Africa, such redress is embodied
The Ombudsman’s
Jurisdiction
WHICH BANKS ARE PARTICIPANTS?
Only banks that are members of The Banking Association
South Africa (The Banking Association) are bound by our rules.
WHO CAN COMPLAIN TO US?
Any bank customer may lodge a complaint against his or
her bank with the Ombudsman for business services (OBS),
provided the OBS has jurisdiction.
Entities such as companies, corporations, partnerships
and trusts may lodge a complaint if the person making the
complaint is authorised to do so, and the annual turnover of the
business or group of businesses is R10-million or less per year.
COMPLAINTS WE CAN HANDLE
The OBS can assist you only if your complaint:
• relates to products or services provided by the bank;
• involves a claim of R2-million or less;
• arose within the past three years; and
• the bank concerned is a member of The Banking Association.
COMPLAINTS WE CANNOT HANDLE
We cannot assist if your complaint involves:
• a bank’s commercial decision about lending or credit, interest
rates
• or bank charges, unless there has been maladministration;
• a matter that would more appropriately be dealt with by a
court of law or another dispute resolving process; and
• a matter which is or has been the subject of litigation, subject
to certain exceptions.
Edition 8
Expert Opinion.indd 27
BANKER SA
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2013/12/19 4:17 PM