FCAC Decisions — 2003 to 2011
- Posted on October 21, 2011
- A number of community representatives asked the FCAC for a public meeting on the closure of the small town’s only bank branch. The FCAC granted the request for a meeting between the bank, the FCAC and local consumers to discuss how the closure would affect the community.
- Posted on July 29, 2011
- A consumer complained that a trust and loan company’s ads did not explain how the company calculated interest for a savings product. The company entered into a compliance agreement to meet the regulations applicable to advertising.
- Posted on June 10, 2011
- A number of consumers asked the FCAC for a public meeting on the upcoming closure of a bank branch. The FCAC granted the request for a meeting between the bank, the FCAC and local consumers to discuss how the closure would affect the community.
- Posted on June 9, 2011
- A consumer and a town official asked the FCAC for a public meeting on the upcoming closure of the small town’s only bank branch. The FCAC granted the request for a meeting between the bank, the FCAC and local consumers to discuss how the closure would affect the community.
- Posted on April 8, 2011
- A bank was offering a financing plan that allowed consumers to pay for products and services in monthly instalments on their credit card. The FCAC found that the bank was violating a number of disclosure rules with this plan, and imposed an administrative monetary penalty.
- Posted on March 18, 2011
- In 2010, the federal government amended the Cost of Borrowing Regulations and Credit Business Practices Regulations. Below is a summary of the FCAC's decisions and other actions that resulted from these amendments.
- Posted on December 15, 2010
- A consumer told his bank that he was the victim of debit card fraud, but the bank did not thoroughly investigate his claim. The FCAC found the bank non-compliant under the voluntary Debit Card Code in this case.
- Posted on August 12, 2009
- A bank held a promotional offer for “interest free” credit card cheques, but did not clearly explain that consumers had to make monthly payments to maintain “interest free” status. The FCAC did not apply a penalty only because the time limit to do so had expired.
- Posted on September 19, 2008
- A bank did not clearly explain to consumers how promotional interest rates for cash advances on their credit cards would be charged on their bill. The FCAC noted one violation of regulations and imposed an administrative monetary penalty.
- Posted on September 19, 2008
- A bank’s credit card agreement used different wordings in different sections to explain how promotional interest rates worked. These differences were likely to confuse or mislead consumers. The FCAC noted one violation of regulations. The bank revised the agreement.
- Posted on September 19, 2008
- A bank’s application form for a credit card did not explain when the annual user fee and other non-interest charges would be applied. The FCAC noted one violation of regulations. The bank revised its application documents to include the charges that would be applied.
- Posted on September 19, 2008
- A bank charged several consumers to cash federal government cheques because they were not customers of the bank. The FCAC reviewed each case and found that only one instance was a violation of regulations.
- Posted on September 19, 2008
- A consumer complained that her bank did not provide written notices for a number of changes to the way interest was calculated on her line of credit. The FCAC agreed that these notices were required by regulations, and noted one violation.
- Posted in 2007
- A bank’s policy was not to provide credit card holders with monthly statements for months where their account balance was paid down to zero. This policy violates the Cost of Borrowing (Banks) Regulations. The FCAC directed the bank to pay a small administrative monetary penalty and to change the policy.
- Posted in 2007
- A bank branch’s landlord asked the bank to vacate the property within three months, so the bank was unable to give consumers the required four months’ notice for a closure. The FCAC granted the bank’s request to vary the time and manner that consumers received notice.
- Posted in 2007
- A bank refused to open accounts for several consumers, and did not provide those consumers with a written Notice of Refusal as required. The FCAC noted these violations and imposed an administrative monetary penalty. The bank changed its procedures.
- Posted in 2007
- A foreign bank did not disclose to a consumer the date when an annual fee on his credit card would be charged. The consumer learned the date only after he applied for the card. The FCAC imposed an administrative monetary penalty for this violation of regulations.
- Posted in 2007
- A bank did not properly explain in its credit agreements that a promotional interest rate for cash advances on credit cards was valid for three months only. It also failed to indicate what interest rate would apply afterwards. The FCAC imposed an administrative monetary penalty for this violation of regulations.
- Posted in 2007
- A bank’s policy was to increase the interest rate on credit cards when consumers were not making their minimum monthly payments. However, the bank did not provide the required 30 days’ notice to make this change. The FCAC imposed an administrative monetary penalty for this violation of regulations.
- Posted in 2007
- A bank refused to cash a federal government cheque because the government office that verifies cheques was closed for the day. The FCAC imposed an administrative monetary penalty for this violation of regulations.
- Posted in 2007
- A bank held a consumer financially responsible for transactions made after his debit card was stolen by someone he knew. After reviewing the case, the FCAC agreed with the bank’s view. The FCAC also concluded that the bank did not properly inform the consumer of the dispute resolution process.
- Posted in 2007
- A bank held a consumer financially responsible for debit card transactions she said she didn’t make. Her card had not been stolen. After review, the FCAC concluded that the bank had not proved the consumer was responsible, and so was violating the code of conduct for debit cards.
- Posted in 2007
- A consumer asked the FCAC for a public meeting on the closure of a bank branch. In this case, the FCAC decided the bank had consulted the community on the closure sufficiently and denied the request for a meeting.
- Posted in 2007
- A bank held a consumer financially responsible for transactions made after his debit card was stolen by someone he knew. After reviewing the case, the FCAC agreed with the bank’s view. The bank later chose to repay the consumer to maintain a good relationship.
- Posted in 2007
- A consumer complained that his credit card statements did not show the interest rate he was paying, as required. The FCAC found a violation of regulations and imposed an administrative monetary penalty. The bank added the rate to statements for this credit card product.
- Posted in 2007
- A mortgage lender did not provide consumers with all the information they needed to understand how a prepayment penalty would be calculated. The FCAC asked the lender to enter into a compliance agreement. This required the lender to review and update its documents.
- Posted in 2007
- A consumer asked the FCAC for a public meeting on the closure of a bank branch. In this case, the FCAC decided the bank had consulted the community sufficiently on the closure and denied the request for a meeting.
- Posted in 2007
- A consumer asked the FCAC for a public meeting on the closure of a bank branch. In this case, the FCAC decided the bank had consulted the community sufficiently on the closure and denied the request for a meeting.
- Posted in 2007
- A bank held a consumer responsible for debit card transactions made after her card was stolen. The FCAC found the bank had not properly investigated the claim, and recommended repaying the consumer.
- Posted in 2007
- A bank branch was forced to close because the property owner began major construction and the site was unsafe. Two other branches were located nearby. The FCAC granted the bank’s request to vary the time and manner that consumers received notice of the closure.
- Posted in 2007
- A bank held a consumer financially responsible for transactions made after he had lost his debit card. The FCAC reviewed the case and agreed that the consumer was responsible. The bank had not violated the code of conduct for debit cards.
- Posted in 2006
- A bank did not clearly explain to consumers the conditions they needed to meet to open a deposit account. The bank also did not explain the personal identification consumers needed to cash a federal government cheque. The FCAC issued an administrative monetary penalty. The bank revised its publications.
- Posted in 2006
- A local official asked the FCAC for a public meeting on the closure of a bank branch in the community. In this case, the FCAC decided the bank had consulted the community sufficiently on the closure and denied the request for a meeting.
- Posted in 2006
- A bank did not disclose to consumers the actual interest rate they would pay on a credit card in a promotional campaign for the card. The FCAC noted four violations of regulations and imposed an administrative monetary penalty.
- Posted in 2006
- A bank refused to open retail deposit accounts for two consumers because they did not bring the proper identification. The bank then did not provide the consumers with a written notice of refusal. The FCAC ruled that both occasions were not violations.
- Posted in 2006
- A consumer asked the FCAC for a public meeting on the official closure of a bank branch, two years after a fire destroyed the branch. The FCAC decided that consumers had had enough time to adjust to the closure and denied the request.
- Posted in 2006
- A consumer complained that his bank should not have charged him an overdraft fee. The charge was not consistent with how the bank had explained its overdraft policy. The FCAC imposed an administrative monetary penalty for this violation of regulations.
- Posted in 2006
- In promotional materials for a credit card, a bank did not disclose to consumers the actual interest rate or any non-interest charges they would pay. The FCAC found five violations of regulations and imposed an administrative monetary penalty.
- Posted in 2006
- A trust company demanded that two consumers pay a prepayment charge if they wanted to pay off their mortgage loans ahead of schedule. The charge had not previously been disclosed. The FCAC imposed an administrative monetary penalty for two violations of regulations.
- Posted in 2006
- A bank sent out an application form for a credit card to consumers, but did not disclose the annual fee or the interest rate on cash advances they would pay. The FCAC found two violations of regulations and imposed an administrative monetary penalty.
- Posted in 2006
- A bank sent out an application form for a credit card to consumers, but did not disclose the actual interest rate or any non-interest charges they would pay. The FCAC found a violation of regulations.
- Posted in 2006
- A bank sent out an application form for a credit card to consumers. The application showed several possible interest rates but did not disclose the actual rate the consumer would pay. The FCAC found a violation of regulations.
- Posted in 2005
- A bank did not disclose an age restriction for a new optional service offered to credit card holders, and also did not disclose when it lifted the restriction. The FCAC found two violations of regulations. The bank mailed consumers information about the changes.
- Posted in 2005
- A bank had made a public commitment to provide a low-cost bank account, but was charging extra fees to account holders for online banking. The FCAC found this non-compliant with its public commitment, and the bank changed the account’s fee structure.
- Posted in 2005
- A bank did not disclose to consumers that they could lose an interest-free grace period when they used credit card cheques. The FCAC found one violation of regulations. The bank refunded affected consumers and changed the policy.
- Posted in 2005
- A bank held an advertising campaign for a mortgage product. Some ads featured the interest rate for a mortgage prominently, but did not show the annual percentage rate (APR) prominently as well. Some also showed an incorrect APR. The FCAC found one violation of regulations.
- Posted in 2005
- A bank changed the payment schedule of a loan without informing or getting the consent of a co-borrower on the loan. The FCAC sent a letter of reprimand noting this violation of regulations.
- Posted in 2005
- A bank did not comply with Visa's “zero liability” policy for credit card fraud. The bank could not reach the consumer, and so ended its investigation and charged the consumer for fraudulent transactions. After review, the FCAC found the bank was not compliant.
- Posted in 2005
- A bank was relocating a branch to a new site merely 510 meters away. The bank asked FCAC to be exempted from the regulations for informing consumers of a branch closure. The FCAC granted the request.
- Posted in 2005
- A consumer asked the FCAC for a public meeting on the closure of a bank branch. In this case, the FCAC decided the bank had consulted the community sufficiently on the closure and denied the request for a meeting.
- Posted in 2004
- A consumer group asked the Financial Consumer Agency of Canada for a public meeting on the upcoming closure of a local bank branch. The FCAC granted the request for a meeting between the bank, FCAC and local consumers to discuss how the closure would affect the community.
- Posted in 2004
- A consumer asked the FCAC for a public meeting on the closure of her local bank branch. In this case, the FCAC decided the bank had consulted the community sufficiently on the closure, and denied the request for a meeting.
- Posted in 2004
- A new employee at a bank charged a consumer to cash a federal government cheque. The FCAC noted the violation of regulations and sent a letter of reprimand. The bank reimbursed the consumer and provided the employee with training.
- Posted in 2004
- A bank refused to open a retail deposit account because of information found on the consumer’s credit file. The FCAC noted the violation of regulations and sent a letter of reprimand.
- Posted in 2004
- An urban bank branch was destroyed by a fire and had to close immediately, so the bank was unable to give consumers the required four months’ notice for a branch closure. The FCAC granted the bank’s request to vary the time and manner that consumers received notice.
- Posted in 2004
- A bank refused to cash a federal government cheque for a consumer who was not a customer of the bank. The consumer presented two valid pieces of identification as required. The FCAC sent a letter of reprimand. The bank trained staff on the regulations for federal cheques.
- Posted in 2004
- A community organization asked FCAC for a public meeting on the closure of a local bank branch. In this case, The FCAC decided that the bank had consulted the community sufficiently on the closure and denied the request for a meeting.
- Posted in 2004
- A bank refused to open a deposit account for a consumer who presented the proper identification. The FCAC sent a letter of reprimand. The bank opened the account and retrained the staff member who refused.
- Posted in 2004
- A bank asked the FCAC for permission to change the amount of time required to inform consumers of a branch closure, because another branch was located nearby. The FCAC denied the request because the bank made it after the branch had already closed.
- Posted in 2004
- A bank refused to open retail deposit accounts for a number of consumers because of information in their credit files. The FCAC sent a letter of reprimand noting seven violations of regulations. The bank revised its procedures for opening accounts.
- Posted in 2004
- FirstLine Mortgages did not fully inform mortgage holders about a fee for making changes to their payment schedule. These consumers were told the fee amount only when they requested changes. The FCAC imposed an administrative monetary penalty for this violation of regulations.
- Posted in 2004
- A bank asked the FCAC for permission to change the amount of time required to inform consumers of a branch closure. The bank was building a new branch nearby, but the construction project was delayed. The FCAC granted the request.
- Posted in 2004
- A bank refused to open a deposit account for a consumer because of information found in his credit file. The FCAC sent a letter of reprimand for this violation of regulations. The bank opened the account for the consumer.
- Posted in 2004
- A bank did not display at its branches a summary of the conditions and charges that apply to open a deposit account, or make a paper copy available to consumers. The FCAC sent a letter of reprimand noting three violations of regulations. The bank entered into a compliance agreement with FCAC.
- Posted in 2004
- A bank refused to open a retail deposit account for a consumer because of a previous bankruptcy. The FCAC sent a letter of reprimand noting this violation of regulations. The bank opened the account and waived some fees for the consumer.
- Posted in 2004
- A community group asked the Financial Consumer Agency of Canada for a public meeting on the closure of a bank branch. In this case, the FCAC decided the bank had consulted the community sufficiently on the closure and denied the request for a meeting.
- Posted in 2004
- A bank refused to open a deposit account for a consumer because of information found in his credit file. The FCAC sent a letter of reprimand noting this violation of regulations. The bank opened the account for the consumer.
- Posted in 2004
- A bank refused to cash a federal government cheque for a consumer who was not a customer of the bank but presented two valid pieces of identification. The bank then did not provide a written notice of refusal. The FCAC sent a letter of reprimand noting one violation of regulations.
- Posted in 2004
- A consumer asked the FCAC for a public meeting on the closure of a bank branch. In this case, the bank had already held a public meeting, and so the FCAC denied the request.
- Posted in 2004
- A consumer complained to the FCAC that he had not received monthly credit card statements for several months. The FCAC sent a letter of reprimand noting this violation of regulations. The bank found that the issue was a simple employee error.
- Posted in 2004
- A federally regulated bank offered its services through the branch network of a non-federally regulated financial institution. The non-regulated institution closed three branches without providing consumers or the FCAC with advance notice. The FCAC found one violation of regulations.
- Posted in 2004
- A consumer asked the FCAC for a public meeting on the closure of a bank branch. In this case, the FCAC decided the bank had consulted the community sufficiently on the closure and denied the request for a meeting.
- Posted in 2004
- A consumer asked the FCAC for a public meeting on the upcoming closure of a local bank branch. The FCAC granted the request for a meeting between the bank, the FCAC and local consumers to discuss how the closure would affect the community.
- Posted in 2004
- A bank refused to open a retail deposit account for a consumer because of a previous bankruptcy. The bank then did not provide the consumer with a written notice of refusal.
The FCAC sent a letter of reprimand for these violations of regulations. The bank opened the account.
- Posted in 2004
- Laurentian Bank posted ads in its branches showing an interest rate on a mortgage but not the term of the loan. Both are required by regulation. The FCAC found a violation of regulations and imposed a financial penalty. Laurentian removed the ads.
- Posted in 2004
- A bank provided an incomplete credit card agreement to many consumers. The agreement did not disclose important information about interest charges. The FCAC sent a letter of reprimand noting two violations of regulations. The bank refunded consumers for any improper charges.
- Posted in 2004
- The FCAC granted a request to hold a public meeting between a bank, consumers and the FCAC to discuss a branch closure. After attending this meeting, a consumer requested a second meeting. The FCAC denied the second request.
- Posted in 2003
- A bank charged a consumer $1.00 to cash a federal government cheque. The bank quickly reported the error and repaid the consumer. The FCAC noted the violation, but did not impose any further penalty. The bank reminded employees of regulations.
- Posted in 2003
- A bank sent letters to inform consumers about a branch closure, but did not explain that they could ask the FCAC for a public meeting on the closure. The FCAC noted two violations of regulations and sent a letter of reprimand.
- Posted in 2003
- A bank sent out a credit card promotion to consumers that offered low interest rates, but did not explain how the consumers’ actual rate would be calculated. The FCAC sent a letter of reprimand noting two violations of regulations.
- Posted in 2003
- A foreign insurance company did not file its complaint handling procedures for Canadian consumers with FCAC, despite many requests to do so. The FCAC sent a letter of reprimand noting two violations of regulations.
- Posted in 2003
- A trust company did not display a summary of charges, or make a paper copy available to consumers, at its branches. The company self-reported this violation and made the summary available. The FCAC sent a letter of reprimand.
- Posted in 2003
- A bank reduced the minimum monthly payment requirements on their credit cards but did not provide 30 days’ notice to consumers as required. The FCAC found a violation of regulations and imposed an administrative monetary penalty.
- Posted in 2003
- A bank did not clearly explain to consumers how it calculated interest for its credit card, nor the timing of the grace period before interest charges applied. The FCAC sent a letter of reprimand noting this violation of regulations.
- Posted in 2003
- A bank agreed to provide a consumer with a line of credit on the condition that the consumer also take out a planned mortgage loan with the same bank. The FCAC sent a letter of reprimand noting this violation of regulations. The bank removed the condition.
- Posted in 2003
- An insurance company did not file a copy of its complaint handling procedures with the FCAC as required. The FCAC sent a letter of reprimand for this violation of regulations. The company filed its procedures with the FCAC.
- Posted in 2003
- A bank did not notify the FCAC at least four months before two branches were set to close, as required in an urban community. The FCAC sent a letter of reprimand noting these violations of regulations.
- Posted in 2003
- A bank did not notify the Financial Consumer Agency of Canada at least six months before a branch was set to close, as required in a rural community. The bank also did not provide information to the local mayor. The FCAC sent a letter of reprimand noting four violations.
- Posted in 2003
- A bank did not clearly disclose a credit card’s interest rate in one of its direct-mail ads. The ad used different wordings on the envelope and the offer inside, which may have misled consumers. The FCAC sent a letter of reprimand noting this violation of regulations.
- Posted in 2003
- A bank did not notify the FCAC at least four months before two branches were set to close, as required in an urban community. The FCAC sent a letter of reprimand noting two violations of regulations.
- Posted in 2003
- A bank did not disclose the annual percentage rate (APR) for a mortgage in an advertisement, as required. The ad was posted in only one branch and was quickly removed. The FCAC sent a letter of reprimand noting this violation of regulations.
- Posted in 2003
- A bank charged a consumer to cash two federal government cheques. The bank repaid the consumer when the error was reported. The FCAC sent a letter of reprimand noting this violation of regulations.
- Posted in 2003
- A bank posted an ad in its front window showing the interest rate, but not the term, for a mortgage loan. The FCAC sent a letter of reprimand noting two violations of regulations. The ad was posted in only one branch and was quickly removed.
- Posted in 2003
- A rural bank branch was destroyed by an electrical fire and had to close immediately. The bank was unable to give consumers the required six months’ notice of the closure. The FCAC granted the bank’s request to vary the time and manner that consumers received notice.
- Posted in 2003
- A bank charged a consumer interest on her credit card even though she had paid the amount owing before the due date. The bank then refused to refund the interest. The FCAC sent a letter of reprimand. The bank entered into a compliance agreement with FCAC.
- Posted in 2003
- A foreign bank did not file its complaint handling procedures for Canadian consumers with FCAC, after many requests to do so. The FCAC sent a letter of reprimand noting one violation of regulations.
- Posted in 2003
- A bank did not disclose that it charged a conversion fee to consumers who used their credit cards in a foreign currency. The FCAC sent a letter of reprimand noting one violation of regulations. The bank made changes to better inform consumers of the fee.
- Posted in 2003
- A bank planned a number of branch closures, but did not give the FCAC sufficient notice for some. The bank also did not inform consumers that they could request a public meeting on a closure. The FCAC sent a letter of reprimand noting eight violations of regulations.
- Posted in 2003
- A bank did not notify the FCAC at least four months before an urban branch closure. The FCAC sent a letter of reprimand noting two violations of regulations.
- Posted in 2003
- A bank did not notify the FCAC at least four months before an urban branch closure, as required. It also did not properly inform consumers of the closure. The FCAC found two violations of regulations and imposed an administrative monetary penalty.
- Posted in 2003
- A foreign insurance company did not file its complaint handling procedures for Canadian consumers with the FCAC, despite many requests to do so. The FCAC found a violation of regulations and imposed an administrative monetary penalty.
- Posted in 2003
- A bank branch posted an ad that did not disclose the annual percentage rate (APR) or the term of a mortgage, as required. The ad was posted in only one branch and was quickly removed. The FCAC sent a letter of reprimand noting this violation of regulations.
- Posted in 2003
- A bank's mortgage documents did not use plain language to explain the mortgage terms. While there was no violation of regulations, the bank agreed to enter into a compliance agreement with FCAC. The bank reviewed and updated its documents using plain language.
- Posted in 2003
- A bank did not notify the FCAC at least four months before an urban branch closure, and did not inform consumers that they could request a public meeting on the closure. The FCAC sent a letter of reprimand for these violations of regulations.
- Posted in 2003
- A bank did not notify consumers or the FCAC at least four months before a branch closure, as required in an urban community. The FCAC sent a letter of reprimand noting four violations of regulations.
- Posted in 2003
- A bank informed consumers of a branch closure, but did not explain how to contact the FCAC to request a public meeting on the closure if they chose. The FCAC sent a letter of reprimand noting two violations of regulations.
- Posted in 2003
- A bank did not notify consumers or the FCAC at least four months before an urban branch closure. It also did not explain to consumers how to contact the FCAC to request a public meeting on the closure. The FCAC sent a letter of reprimand noting four violations of regulations.
- Posted in 2003
- A bank posted ads in at 13 branches that showed the interest rate for a mortgage, but did not disclose the annual percentage rate (APR) or the term of the mortgage. The FCAC sent a letter of reprimand noting 13 violations, and the bank removed the ads.
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