Mixed views on dispute scheme merger

There are four schemes operating: the Banking Ombudsman, which has been around for 20 years; the Insurance and Savings Ombudsman (ISO), which has been around for 17; Financial Services Complaint Limited (FSCL), and Financial Dispute Resolution (FDR).

“There is an underlying question as to whether less is more for consumers in relation to the financial dispute resolution regime,” Consumer Affairs Minister Simon Bridges said.  “This work is on-going and no decisions have been made.”

And the review has attracted a mixed reaction from the industry, with the two more established schemes saying reducing competition could benefit consumers.

“There’s real concern internationally about having competition in a dispute resolution marketplace,” ISO Karen Stevens said.