The B.C. Financial Services Authority received 1,711 consumer complaints and closed 2,184 cases between Apr. 1, 2023, and Mar. 31, 2024, according to the regulator’s inaugural consumer complaints and investigations report.
“Complaint volumes in fiscal year 2023/24 were consistent with BCFSA’s expectations, with complaints predominantly related to misrepresentation within the real estate services segment,” Blair Morrison, CEO and chief statutory officer of the BCFSA said in the report.
Real estate dominated complaints with more than 70% of the total number (1,234 of 1,711).
One-fifth of the 1,234 complaints in the real estate segment alleged misrepresentation, followed by 17% for deceptive or unbecoming conduct and another 17% for unlicensed activity. The complaints resulted in 21 fines and 277 informal enforcement actions.
Insurance companies received the second most complaints. The top reasons for the 287 complaints included 27% for insurance claim decisions and settlements, 21% for the quality of service and 18% for business practices. The BCFSA made one order, sent 14 warning letters and agreed to five voluntary compliance undertakings.
Nearly two-thirds (64%) of the 86 complaints against mortgage services were about market conduct and 35% for unlicensed activity. These allegations resulted in 11 fines and 12 letters of advisement.
Consumers also lodged 86 complaints against credit unions, of which 83% were on the quality of service received and decisions made by the credit union. Only one warning letter resulted from complaints against credit unions.
Of the 18 complaints against trust companies, the BCFSA issued four warning letters. Most (72%) of the complaints were for the quality of service received and decisions made and 28% were for regulatory affairs and compliance.
The report omitted pensions and real estate development segment complaints as the numbers were not statistically significant and could lead to incorrect conclusions.
In future, the report will be published annually at the end of each fiscal year.