Majority of the complaints lodged by consumers to the Financial Ombudsman Service (FOS) are credit related products. Almost half of these complaints are credit card and home loan disputes, and a third of these are inability to pay mortgage.
Despite these news, there are several bright spots outlined by the FOS. Overall dispute numbers have decreased for the first time in four years, down by 5%. Investment disputes have been reduced by 25% as well. Financial disputes were also down by 22%, Disaster insurance claims have also reduced and fewer Australians are experiencing repayment pressures because of the low interest rates.
Dispute resolutions have been the utmost priority for the FOS, and it is good to know that 55% of these disputes were resolved within 60 days, and 73% within 120 days for the past year.
Read more about this on the Broker News website.