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The client had opened a group RESP for each of her two children with a scholarship plan dealer. After a year, she started experiencing administrative problems with the plans. The problems persisted and she was not able to get a clear explanation from the firm's telephone representatives. As a result of the problems, she incurred additional administrative fees and was unhappy with the firm. She complained to the firm and, not satisfied with its response, brought her complaint to OBSI.

Terms of Reference Revised • Participating Firm Contact • Information Update

OBSI's Terms of Reference underwent a significant amendment in 2002. In 2007, the Board of Directors approved an amendment to align the Terms of Reference with the Framework for Cooperation.

From the Ombudsman’s desk • International Ombudsman News • Case Study - Mitigation and minimizing losses • OBSI Outreach • OBSI in the news

A Canadian couple living in the UK had RRSPs with a Canadian investment firm. While visiting Canada, they met their advisor to discuss their accounts. They were upset because the advisor had kept their money in cash for almost a year and were also upset because for two months the money had only earned 0.25% interest. The advisor explained that he was waiting for the right time to invest and that the money had not been invested in a higher interest account because of an administrative error. He discussed some potential stock picks.

From the Ombudsman’s desk • OBSI Outreach • OBSI's 2007 Annual Review • Case Study - A rewards programme past its prime • OBSI in the media • Upcoming Osgoode Event - Managing Internal and Regulatory Investigations

When shopping for a credit card in 1993, the client was attracted to one of his bank's cards which included a reward program for first-time homeowners. The more spent with the card, the more he accumulated reward "dollars" which could be credited toward an undiscounted (i.e. posted rate) mortgage from the bank.

The clients, a retired couple in their early 70s, were approached by an advisor who had been referred to them by a friend. The advisor recommended that they take out a $90,000 home equity line of credit and use the money to invest in various equity mutual funds. The couple had $15,000 in retirement savings and had only fair investment knowledge. Their income came from government and company pensions. Since they did not have adequate income to cover monthly interest payments on the loan, the advisor set up a regular withdrawal to be taken from the investment account.

In early 2002 a client sold a rental property for $175,000. He asked his accountant if there was an investment product that would guarantee his capital and provide him with a regular income. His accountant suggested income trusts. Through an advisor referred to him by his financial institution, he invested in income trusts recommended by the advisor. However, the distribution from the trusts soon reduced to a trickle. Even though the capital was guaranteed, the client was not happy and looked for an alternative.

Consultation on OBSI's mandate • Independent review of OBSI • IDA proposes new complaint-handling rules • Case Study: An inconvenient mortgage • RESP Dealers Join OBSI • New OBSI brochure available Roundtable on Dispute Resolution in Retail Investor Loss Cases