Unfair treatment by a broker: A guide to resolution

For further information on the rules and how to take your complaint forward, you can go to the ESMA website.

If you feel that a Broker or a Financial firm has treated you unfairly, then you can take the following steps:

1. Make an informal complaint

Contact the broker directly – this can be done over the phone, email, letter etc and explain the problem. It’s best to have a record of this communication, so even if you complain over the phone, ask for an email address so that you can follow your call with an email.

If you are unhappy with their response, or you receive no response at all, you can make a formal complaint.

2. Make a formal complaint

Contact the broker and ask for details on how to file a formal complaint. Alternatively, check their site for details of how to file a formal complaint. It’s best to have a record of this communication, so email may be your best option.

All EU regulated firms are required to have a process in place to deal with your complaint in a timely manner.

If you are unhappy with their response, or you receive no response at all, you can take the matter further to the regulator or ombudsman.

3. Make a formal complaint to the regulator or ombudsman

The local regulator or ombudsman will only consider your complaint after you have contacted the broker directly and have received an unsatisfactory response.

When filling a complaint, ensure you explain your issue clearly and include any relevant communication, documentation or information you have, including previous records of communication with the broker.

You need to contact the regulators in the country that your broker is regulated under. This may not be the same as the Head Office or Sales Office. In some cases, brokers have more than one Head Office. So find out which jurisdiction regulates the broker you are complaining about.

Regulatory bodies:

The following is a list of jurisdictions and details of the regulating bodies:

Cyprus: Office of the Commissioner of Administration (Ombudsman)
Germany: BaFin - Federal Financial Supervisory Authority
Malta: Malta Financial Sevices Authority - mymoneybox
UK: Financial Ombudsman

Further information: ESMA website

Please note, we are not legal advisers, for legal advice, we recommend you consult a lawyer.

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