Our Mandate

FCAC derives its mandate from the Financial Consumer Agency of Canada Act. The Act outlines our functions, administration and enforcement powers, and lists the sections of federal consumer-oriented laws and regulations (called "consumer provisions") under our supervision.

FCAC has ten objects:

• Supervise financial institutions to ensure they comply with federal consumer protection measures that apply to them, with undertakings relating to the protection of customers as defined in legislation, and with directions of the Minister of Finance.
  
  
• Promote the adoption by financial institutions of policies and procedures designed to implement the consumer protection measures, voluntary codes of conduct, and financial institutions’ public commitments designed to protect the interests of customers.
  
  
• Monitor if financial institutions follow their own voluntary codes of conduct and respect the public commitments they have made to protect the interests of consumers.
  
  
• Promote consumer awareness of the obligations of financial institutions and all matters related to protecting consumers of financial products and services.
  
  
• Foster an understanding of financial services and issues relating to financial services.
  
  
• Monitor and evaluate trends and emerging issues that may have an impact on consumers of financial products and services.
  
  
• Supervise payment card network operators to determine whether they are in compliance with the provisions of the Payment Card Networks Act and its regulations.
  
  
• Promote adoption by payment card network operators of policies and procedures designed to implement the Payment Card Networks Act and its regulations.
  
  
• Monitor implementation of voluntary codes of conduct adopted by payment card network operators and any public commitments they make regarding their commercial practices relating to payment card networks.
  
  
• Promote public awareness about the obligations of payment card network operators under a voluntary code of conduct or the Payment Card Networks Act.
  
  

As a regulatory agency, FCAC can exercise its enforcement powers to ensure that financial institutions comply with the consumer provisions of the various federal acts relating to financial services, including:

• the Bank Act;
  
  
• the Insurance Companies Act;
  
  
• the Trust and Loan Companies Act;
  
  
• the Co-operative Credit Associations Act;
  
  
• the Green Shield Canada Act;
  
  
• the Payment Card Networks Act; and
  
  
• the Financial Consumer Agency of Canada Act.
  
  

In cases of contravention or non-compliance with legislation, we notify the financial institution of a violation. We may also, depending on the severity and frequency of the problem:

• seek a commitment from the financial institution to remedy the issue within a short time frame
  
  
• impose a monetary penalty
  
  
• impose criminal sanctions
  
  
• take other actions as necessary.
  
  

Reporting requirements

FCAC reports to the Minister of Finance on the Agency's activities and the legislative framework for consumer protection. In addition, each year FCAC prepares an annual report for Parliament. It describes:

• the Agency's operations;
  
  
• the performance of financial institutions in complying with consumer protection provisions;
  
  
• the procedures that financial institutions have in place for dealing with complaints; and
  
  
• the number and nature of complaints that have been brought to the Agency's attention.