History of the Financial Consumer Agency of Canada

The Financial Consumer Agency of Canada (FCAC) was established in 2001 to protect the rights and interests of consumers of financial products and services.

FCAC derives its mandate from the Financial Consumer Agency of Canada Act (FCAC Act). As an independent federal government agency, FCAC supervises federally regulated financial entities, such as banks, and strengthens the financial literacy of Canadians. The FCAC Act consolidates the oversight of financial consumer protection measures, which had been dispersed across the federal government prior to the establishment of FCAC. 

FCAC’s mandate has been expanded and strengthened since its creation. Through amendments to the Bank Act and other legislative and regulatory changes, FCAC became responsible for supervising the compliance of federal credit unions (2010), payment card network operators (2010), and for protecting consumers who use prepaid products such as gift cards and prepaid credit cards (2014).

An important milestone in FCAC’s evolution took place in 2018. The federal government introduced legislative amendments to strengthen FCAC’s mandate and powers and a new Financial Consumer Protection Framework (Framework) in the Bank Act to further advance the rights and interests of consumers in their dealings with banks.

These amendments also strengthened FCAC’s role in financial literacy by integrating it into its mandate. Some provisions of the Framework  came into force in April 2020 with the remainder coming into force on June 30, 2022. The Framework strengthened FCAC’s mandate and, overall, it introduced over 60 new or enhanced measures that banks, authorized foreign banks and federal credit unions must comply with to protect financial consumers.

In June 2021, FCAC released Canada’s renewed National Financial Literacy Strategy. Make Change that Counts: National Financial Literacy Strategy is a 5-year plan and a goal to help Canadians build financial resilience in an increasingly digital world. 

Both the Framework and the National Strategy are central to FCAC’s vision of being a leader and innovator in financial consumer protection for Canadians. FCAC’s regulatory, research and financial education resources, and its collaboration with a large network of stakeholders and partners in Canada and internationally, set the foundation for a financial ecosystem that is more inclusive, more accessible and more effective for all Canadians.