B3: Consumer protection

What is consumer protection?

Laws and regulations designed to protect consumers from unfair treatment and financial harm.

What does the FCA stand for?

Financial Conduct Authority.

What is the role of the FCA?

It regulates financial services firms and protects consumers by promoting fair and honest financial markets.

What does the PRA stand for?

Prudential Regulation Authority.

What is the role of the PRA?

It supervises the safety and soundness of banks, insurers and certain other financial institutions.

What does FOS stand for?

Financial Ombudsman Service.

What is the role of the Financial Ombudsman Service?

It independently resolves eligible complaints between consumers and financial businesses.

What does FSCS stand for?

Financial Services Compensation Scheme.

What is the role of the FSCS?

It compensates eligible customers when authorised financial firms fail and cannot meet their obligations.

What is the current FSCS deposit protection limit?

£120,000 per eligible person, per authorised institution.

What should a customer do if unhappy with a financial service?

Complain to the financial business first and, if unresolved, potentially refer the complaint to the Financial Ombudsman Service.

Why is the FCA important to consumers?

It helps ensure financial firms follow rules and treat customers fairly.

What is financial mis-selling?

When a financial product is sold inappropriately or without suitable or accurate information.

Why is clear financial information important?

It allows consumers to understand costs, risks and terms before choosing a financial product.

How does the FSCS protect consumers?

It provides compensation to eligible customers when an authorised financial firm fails, subject to scheme rules and limits.