The OBSI provides the service on an impartial and independent basis, and free of charge to the consumer as an alternative to the legal system.
In 2002, as a result of discussions among government, industry and consumer groups about improving consumer protection in financial services, all members of the Investment Industry Regulatory Organization of Canada and the Mutual Fund Dealers Association of Canada joined the organization.
Any regulated firm in the banking services and investment fields is eligible to join OBSI.
[1] In October 2023, “amid a surge in consumer complaints about their banks, the federal Finance department is mandating that the non-profit Ombudsman for Banking Services and Investments (OBSI) serve as the sole provider of external complaint handling.” [2] OBSI is Canada's national independent dispute resolution service (ADR) for consumers or small businesses with a complaint they can't resolve with their financial services firm.
As a free alternative to the legal system, OBSI works informally and confidentially to find fair outcomes to disputes about banking and investment products and services.
OBSI levies fees on all of participating firms based on their size or volume of business.
OBSI's budget is set each year by the Board of Directors based on the advice of staff.
Investment Executive CSA expands OBSI mandate Business News Network The Future of Canada's National Bank Ombudsman Canadian Press Rise seen in financial abuse of the elderly Chinese News Unsuitable advice leads to compensating clients, OBSI The Globe and Mail https://www.theglobeandmail.com/globe-investor/banks-should-not-have-choice-of-dispute-mediator-ombudsman/article2368314/ The Globe and Mail Strengthen banking ombudsman, panel urges