4: Know Your Ombud Episode 4: Responsible credit gone wrong

In this episode of "Know Your Ombud," host Maya Fisher-French speaks to Howard Gabriels, the head Ombud for credit, to unpack consumer rights when it comes to taking out credit. 

This episode aims to empower listeners by clarifying the roles of various Ombud schemes, including the National Financial Ombud, and the importance of lodging complaints against financial institutions.

Maya and Howard delve into the types of complaints handled by the credit division, which encompasses a wide range of credit providers, from retailers to micro lenders. They discuss the critical issue of reckless lending, highlighting how consumers can seek recourse if they believe they have been treated unfairly. Howard shares insights from real cases, illustrating how the Ombud intervenes to resolve disputes and improve industry practices.

This includes a case study on the abuse of value-add services which are often added to retail store accounts and how this can escalate a customer's debt. This case led to a major policy change for a retailer, ultimately benefiting thousands of consumers. It also highlights the importance of checking statements and understanding the implications of credit agreements.

The episode also addresses the responsibilities that come with borrowing money, reminding consumers of the importance of communication with credit providers during financial difficulties. Maya and Howard stress that while consumers have rights, they also have obligations that must be honoured to maintain a healthy relationship with credit providers.

Join Maya and Howard as they navigate the intricacies of credit complaints and the vital role the Ombud plays in protecting consumer rights. Remember, the Ombud service is free and accessible, providing an essential resource for those feeling underserved by financial institutions.
 
If you feel let down by a financial service provider, you can contact the appropriate ombud scheme via the links below:

• FAIS Ombud: Disputes related to financial advice
• Office of the Pension Funds Adjudicator (OPFA): Disputes related to pension funds
• JSE Ombud: Disputes related to the JSE
• National Financial Ombud Scheme (NFO): Disputes related to banking, credit, and insurance

This podcast series was created in partnership with The Ombud Council.