Article Image 26240

What have regulators done to help consumers?

In the wake of the financial crisis, many regulatory bodies have sprung up. The goal? To find out how risky banks are, maintain market confidence and reduce financial crime. Crucially, however, is the role they play in consumer protection. Most recently, the Bank of England’s (BoE) internal watchdog has been called into question, mainly regarding its lack of activity. Here’s a breakdown on what regulatory bodies around the world have been doing to help consumers.

The UK

The BoE’s Independent Evaluation Office (IEO) was set up in November 2014, to build public trust in the Bank. While little has been done on this front, it has, however, helped the Bank redraft its annual report and supported a review of monetary policy. Nevertheless, the UK’s Financial Conduct Authority (FCA) made some big decisions last year. The FCA gave RBS, Ulster Bank and NatWest a £42m fine for IT failures which stopped customers from accessing bank services. This has really set an example to other banks, proving the importance of maintaining services to consumers.

The US

The FCA’s equivalent in the US is the Consumer Financial Protection Bureau (CFPB). It aims to educate and empower consumers as well as enforce rules and regulations. Most recently, the CFPB aided the Justice Department in its investigations against mortgage lender, Provident, for its alleged discriminatory lending practices towards African-American and Hispanic customers. A settlement of $9m in compensation will soon be placed in a fund for the victims and should help ensure fair lending practices in the future. The latter, of course, will need to be rigorously policed.

Asia

Looking to China, the National Development and Reform Committee recently launched an investigation on potential monopolies in the shipping industry. This matters because if such monopoly behaviour does exist, this could potentially drive up consumer prices unfairly. In 2012, Japan’s financial regulator, the Fair Trade Commission, led a similar investigation which resulted in a huge 13.1bn yen ($106m) fine for some key players in the industry.

To find out more about the latest news in the financial markets, take a look at our blogs. If you’re concerned about how your international money transfer is regulated, compare safety features with our trusted comparison tool.


 

Comparison tool

Jane Hemming, Reading, UK

When buying a villa in Spain, The Money Cloud saved us over £5,000 in comparison to the quote from our bank.

Martin Ham

Very useful information and fairly up to date! I would definitely recommend the site for anyone interested in exchanging currencies!
purchasing overseas property

OVERSEAS PROPERTY PURCHASES – SAVE ON YOUR PAYMENTS

Explaining how you can make considerable savings by getting better exchange rates and low fees associated when purchasing a property overseas. We show you how to make considerable savings, avoiding poor exchange rates, high fees and the best time to make the transfer.

France property

MAKING OVERSEAS PAYMENTS FOR BUYING PROPERTY IN FRANCE

When purchasing a property in France, we explain all the steps involved in the purchase. We can demonstrate how to make the most of your money when making the international payments to cover the purchase price and associated costs and how to avoid exchange rate risks.

Market Insights

Sign up for our newsletter.

Thank You for subscribing to our Newsletter

You have successfully signed up to our Newsletter