Financial services firms will have more time to resolve complaints less formally, under new rules from the FCA.
The increased three-day time limit will allow for better and easier resolution for a greater number of complaints, the regulator said.
But it will also require firms to send all their complaints data to the FCA so consumers can use it to shop around.
Christopher Woolard, director of strategy and competition at the City regulator, said: “Our rules will help deliver the quicker, easier and fairer resolution to complaints that consumers want.
“Getting this right is also vital for firms. A properly resolved complaint can keep a customer happy, and protect the firm’s reputation.
“But, more than that, effective complaints handling systems can act as an early warning system for firms.”
If a complaint is resolved during this three-day period, firms will be required to send their customers a simpler, template message.
This will inform the complainant of their right to take their complaint to Fos.
The new rules also mean firms will be required to report all complaints to the FCA, which will publish the data and allow consumers to better compare firms.
The FCA has acknowledged that for some firms there will be a “significant cost” attached to this but said this would not be incremental.
In the same 79-page policy statement, the FCA said it would be introducing restrictions on call charges.
It said: “We will introduce rules to ensure that firms must provide only telephone numbers which costs consumers no more than the ‘basic rate’ when calling about a contract already entered into with that firm, as well as to complain.
“These rules will make it cheaper for consumers when they need to speak to a firm and will help prevent consumers being discouraged by the cost of a call from addressing an issue or complaining.”
The rules on complaints come into effect on 30 June 2016 while the rules on call charges come into effect on 25 October 2015.
Adviser view
Robert Forbes, a chartered financial planner with London-based Stadden Forbes Wealth Management, said: “Minor complaints should probably be dealt with in a day anyway because they tend not to be contentious.
“I am all for shining a light on this and seeing how firms serve their clients.”
