AIFA says consumers could fund FOS case fees

In a report delivered to the House of Lords Select Committee on Regulators, AIFA points out the IFA community makes up only 14% of complaints received by the FOS and, of that 14%, more than 70% go in favour of the firm, but firms must always pay a case fee. It states: “A proposal that would see consumers lodge a refundable deposit with FOS would be welcomed by the industry. If the case is found in the complainant’s favour, they would have the deposit returned (with interest).” AIFA says the financial services community faces extra pressure from the FOS because it cannot rely on either a...