Natural Persons
Find all the information you need as an individual to file a complaint against a financial institution. Learn more about our role, the complaint process, and the types of complaints we can handle.
Natural persons also include eligible debtors with a market value of their main residence up to €350,000.
The Financial Ombudsman handles complaints from consumers against financial companies / regulated entities. The consumer submits a completed complaint application against a financial institution online or in paper form. A fee of €20 is paid when submitting the complaint.
The complaint, provided that it meets the criteria for submission and examination, in accordance with the provisions of the relevant legislation (Law 84(I)/2010), will be examined by the competent officers of the Agency. Subsequently, a relevant decision on the complaint will be issued by the Financial Ombudsman, which will be notified to the consumer and the financial institution. The Ombudsman’s decision is binding only if accepted by both parties, within 2 months.
Useful Terms
What does “Complaint” mean?
“Complaint” means the submission of a protest or objection or dispute to the Agency against a financial undertaking, the amount of which does not exceed the amount of €250,000. The term complaint also includes the complaint submitted by an eligible debtor for confirmation of the required mortgage debt prior to the foreclosure process in accordance with the Transfer and Mortgage of Real Estate Law.
What does “Consumer” mean?
- Natural Person
- Natural person who is not in bankruptcy
- Including the eligible debtor (market value of main residence up to €350,000)
- Legal Entity
- Legal Entity legally registered that is not under liquidation status
- Legal Entity whose turnover in the previous year does not exceed €350,000
- Charitable Foundation or Association or association of persons whose income does not exceed €250,000
- Trust or Provident Fund whose net assets do not exceed €250,000
What does “Eligible Debtor” mean?
A mortgagee whose mortgaged property under sale constitutes a primary residence.
What does “Main Residence” mean?
The residence used for the residence of its owner and/or members of his family, for a period exceeding six (6) months per year, the estimated value of which does not exceed three hundred and fifty thousand euros (€350,000).
What does “Financial Enterprise” mean?
(a) Licensed Credit Institution
(b) Electronic Money Institution
(c) Payment Institution
(d) Legal entity holding a license to provide intermediary services in the transfer of money to and from the Republic
(e) Insurance Company
(f) Investment Services Company
(g) Mutual Fund Management Company or
(h) other natural or legal entity operating in the Republic in accordance with an operating license granted by a competent supervisory authority or under a free establishment regime pursuant to:
(i) on the Activities of Credit Institutions Law
(ii) on the Open-ended Undertakings for Collective Investment in Transferable Securities (UCITS) and Related Matters Law
(iii) on Investment Services and Activities and Regulated Markets Law
(iv) on the Practice of Insurance Business and Other Related Matters Law
(v) on the Purchase and Sale of Credit Facilities and Related Matters Law
and includes a legal or natural person, which falls within the definition of the term “intermediary” as defined in article 2 of the Practice of Insurance Business and Other Related Matters Law and carries out intermediation activities in the insurance sector.
Submission requirements
- The complaint is filed by a consumer against a financial company.
- A natural person who is not in bankruptcy.
- It concerns a protest or objection or a difference of up to €250,000.
- The complaint is submitted to the Financial Commissioner within the following timeframes:
- 12 months – from the date on which the consumer submitted a complaint to the Financial Institution.
- 18 months – from the date on which the consumer became aware or should reasonably have become aware of the difference
- The consumer must have previously submitted his complaint in writing to the Financial Institution within 6 months from the date on which he became aware or should reasonably have become aware of the harmful act.
- The transaction falls within the supervisory responsibilities of the competent supervisory authorities, namely the Central Bank of Cyprus or the Cyprus Securities and Exchange Commission or the Insurance Commissioner.
- The eligible debtor/consumer pays a fee of €20 when submitting his Complaint to the Commissioner.
Complaints that are not examined:
- Complaints for which a relevant decision has already been issued by a Court of the Republic.
- Complaints for which any legal proceedings are ongoing unless permission/order to postpone the legal proceedings has been granted by the court.
- Complaints that have already been examined by another alternative dispute resolution body.
- Complaints that are malicious and the resulting difference is not immaterial.
How to Submit a Complaint
You can submit your complaint to the Financial Ombudsman in one of the following ways:
- By hand at the address Kypranoros 15, 1st floor, 1061 Nicosia
- By post: P.O. Box 26722, 1647 Nicosia
- By fax to 22660584 or 22660118
- By email to complaints@financialombudsman.gov.cy
- Through an online application on our website by clicking here.
If you wish to submit your complaint in writing using one of the above methods (1-4), download the application: Complaint Submission Application for Individuals
The complaint may be submitted in Greek or English. The decision will be issued in the language in which the complaint was submitted.
Payment of Application Fee
- Submitting a mediation application costs €20, and payment is made to one of the three bank accounts of the Agency.
- The legal proof of payment must state the name of the consumer who submitted the application.
- The Office of the Financial Commissioner does not accept direct payment from consumers in cash/by card.
- In the event that the Application is rejected or withdrawn, the €20 fee is not refunded.
Required Documents for Submitting a Complaint
- Receipt of payment of the complaint fee (€20).
- Copy of Identity Card or Alien Registration Card (ARC) or Copy of Passport.
- If the complaint is submitted by a representative: Power of attorney with original certification.
- Copy of a complaint submitted to the financial company.
- Notification of receipt of the complaint.
- Copy of the financial institution’s response (if provided).
- Copy of relevant contract or agreement (if any).
- Any other relevant document supporting the complaint.
Possibilities after filing a complaint
Registration of a lawsuit by the consumer after submitting a complaint
If the consumer files a complaint with the Commissioner and later files a lawsuit against the financial institution on the same matter, he must inform the Commissioner on the same day about the lawsuit. If the Commissioner learns of the lawsuit (whether through the consumer’s notification or otherwise), he stops examining the complaint and informs the financial institution accordingly.
The debtor in question may request the Commissioner not to terminate the procedure and to examine the complaint before the Court’s decision is issued, with a view to resolving the complaint out of court, where possible, and in such a case, the eligible debtor shall inform the Court accordingly in any pending procedure.
Settlement of a dispute between involved parties
If the parties involved in the complaint agree to resolve the dispute, they must notify the Commissioner and provide him with details of their agreement. Once the Commissioner receives these notifications and confirms that the agreed compensation has been paid to the consumer, he stops examining the complaint.
Decision Issuance
- The Commissioner’s decision is issued in writing within 90 days from the date of receipt of the complete complaint file. Exceptionally and in particularly complex circumstances, the deadline may be extended.
- If the Commissioner’s decision is in favor of the consumer, the Commissioner determines the financial compensation to be paid by the financial undertaking to the consumer, which he considers fair for the actual financial damage suffered by the consumer and which may not exceed €100,000. If the Commissioner considers that fair compensation should have been higher, he may recommend that the financial undertaking pay the consumer, voluntarily, the additional difference.
Boundness
The Commissioner’s decision is binding only if both parties accept it. The interested parties must notify the Commissioner in writing, within two months, whether they accept the decision. If the 2 months pass without both parties notifying whether they accept the binding nature of the decision, then the decision is not considered binding. Since the Commissioner’s decisions do not become binding without acceptance by both parties, when the findings are in favor of the consumer, the Office as an Out-of-Court Dispute Resolution Body, at the stage either before the issuance of the Decision or even after, makes efforts to reach a compromise solution between the interested parties, where and where there is goodwill on both sides.
In case the decision is accepted by the parties involved, the Financial Institution must comply with the decision within one month of its acceptance. If it does not comply, then the consumer may take legal action against the financial institution, while informing the Commissioner in writing.
Useful Links
Relevant articles
Need more information?
See the Frequently Asked Questions page for immediate answers or contact us at email: complaints@financialombudsman.gov.cy.