The Financials Commissions

Frequently Asked Questions

Clients FAQ

The Financials Commissions is an external dispute resolution (EDR) organization for consumers/traders who are unable to resolve disputes with financial services providers that are members of the The Financials Commissions.

The Financials Commissions set out to provide a new approach for traders and brokers alike to resolve any issues that arise in the course of trading the Forex market.

The Financials Commissions hears a wide variety of disputes of all monetary values. We give traders a voice so they feel they are treated fairly and we provide brokers a means to respond to any complaints that may have been unfairly lodged against them.

The Financials Commissions is not a regulatory body and does not purport to be. The organization is an independent alternative dispute resolution body established exclusively for the purpose of amicably resolving disputes between traders and brokers in a transparent and efficient manner. 

Traders should refer to our Check Your Broker directory to find out the status of their broker or search financial regulators in order to check the current licensing status of their broker in any particular country.

The Financials Commissions cannot resolve disputes in relation to any alleged violations against broker members that fall outside of the organization’s Rules & Guidelines, which specifically govern the investigation and resolution of disputes against broker members whose membership status remains in good standing.

The Financials Commissions was established to be a neutral 3rd party committee to fairly review and resolve complaints in an effort to facilitate a simpler, swifter resolution than through industry regulators and the legal system.

When the The Financials Commissions receives a complaint the first step is to ensure the complainant has approached the member to try and resolve it through the member’s own Internal Dispute Resolution process.

The Financials Commissions’s Rules state that every member must have a complaints contact person and an Internal Dispute Resolution (IDR) Procedure in place.

The IDR Procedures require you to give a substantive response to a complaint as soon as possible but must be within 10 business days. A substantive response shall include:

  • Acknowledging the customers complaint and
  • Where appropriate offering compensation, or
  • Reject the complaint, providing a reason for the decision

If the customer has been through your IDR Procedure and is not satisfied with the outcome, they are entitled to make a formal complaint to the The Financials Commissions.

No. We only accept complaints from traders of our broker members who have membership in good standing at the time of the dispute filing.

If you are requesting assistance with a dispute against a broker which is no longer a member of the The Financials Commissions, has been expelled or whose status is ‘under review’ with our organization, we cannot help you and recommend that you should contact the relevant financial regulatory authorities in your country of residence. To find a regulator, use our search tool. 

Should such authorities require our assistance to handle your query, such regulatory authorities should send us an official request for our consideration.

A complaint is filed with the DRC. The DRC will verify that the proper procedures have been taken and that the client has tried to mediate the complaint with the member first. If the member and client cannot reach an agreement, the complaint will come to the DRC.

The DRC will collect information from both the member as well as the client to hear their justification for why they feel the resolution should be in their favor.

Once the DRC has collected information from both sides they will review the information provided, if they need additional information they will contact the member and or client for follow up questions.

After the DRC has reviewed everything they will issue a decision. This decision will include a description of the complaint, a detailed explanation of the findings of the DRC, as well as a final decision and resolution to the complaint.

The decision-making process and administration of DRC are independent of its members and sectors of the industry which fall within its jurisdiction and which provide its funding.

The DRC are:

  • Entirely responsible for the handling and determination of Complaints; and
  • Are accountable only to the The Financials Commissions Board.

The Financials Commissions Board is responsible for overseeing the operations of the DRC, for ensuring independent decision making on all complaints and for preserving the integrity and independence of the The Financials Commissions and of the dispute resolution processes.

To ensure that the The Financials Commissions is and continues to be, independent from any conflict of interest, the Board will be comprised of:

  • An independent Chairman; and
  • No DRC member brokers

The Financials Commissions and the DRC are not employed by any financial brokerage or affiliated with any regulatory agency in any jurisdiction.

You can use our Check Your Broker directory to find out the status of your broker, as well as contact details and regulatory information. Further information can be obtained by contacting the broker directly or the relevant regulatory body in the country of incorporation of the brokerage company. 

The Financials Commissions’s Rules & Guidelines prohibit the organization from sharing information on the business operations or services of its current or past members. Nonetheless, the The Financials Commissions will consider requests from regulatory and law enforcement authorities regarding information about its members where appropriate.

The complaints and decisions will be supplied to the member and the complainant. These will not be published unless the member does not comply with the judgment.

 

Note: The commission may from time to time publish anonymized random complaints for educational and comparative purposes, with any personal identifiable information removed.

The Financials Commissions will hear complaints of all monetary values. Any complaint that is for less than $250, it will be heard by 1 member of the DRC. Any complaint over $250, will be heard by a minimum of 3 members of the DRC.

The Compensation Fund is a fund that acts as an insurance policy for members’ clients but is only used should a member refuse to adhere to a judgment from the The Financials Commissions.

It is very important to understand that the fund will only be used for a judgment that has been issued by the The Financials Commissions. The fund does not cover traders’ possible losses incurred while engaging in self-directed trading and does not apply to a broker member’s entire client base should the broker become insolvent. 

Further, the Compensation Fund cannot be used for complaints regarding management account trading, trading of synthetic or non-market financial products as outlined in clause 16 of the Rules and Guidelines of the The Financials Commissions.

The Compensation Fund is financed by the The Financials Commissions through the allocation of 10% of the monthly membership dues to the fund which are held in a separate bank account and cannot be used to finance operations or other activities of the organization.

The Compensation Fund will only cover judgments up to €20,000 per client of a Member.

Members FAQ

The Financials Commissions is an external dispute resolution (EDR) organization for consumers/traders who are unable to resolve disputes with financial services providers that are members of the The Financials Commissions.

The Financials Commissions set out to provide a new approach for traders and brokers alike to resolve any issues that arise in the course of trading the Forex market.

The Financials Commissions hears a wide variety of disputes of all monetary values. We give traders a voice so they feel they are treated fairly and we provide brokers a means to respond to any complaints that may have been unfairly lodged against them.

Joining the The Financials Commissions effectively allows you to manage your risks and satisfy customers to reassure that they will be doing business in a fair and balanced environment. Membership with the The Financials Commissions is an opportunity to demonstrate your commitment to upholding the highest standards of commercial honor and best business practices in conducting your business.

Your clients will have access to independent, experienced, and professional staff to assist them in resolving any complaint they may have with you.

Being a member is also a cost effective means to mitigate reputational risk, such as traders complaining on forums creating negative news and feedback. By resolving the complaint through an independent and impartial committee such as the The Financials Commissions, you will reduce the costs associated with litigation and alleviate the stress and difficulty that process entails.

The Financials Commissions was established to be a neutral 3rd party committee to fairly review and resolve complaints in an effort to facilitate a simpler, swifter resolution than through industry regulators and the legal system.

No you do not need to be regulated, however you will need to apply for membership and pass a due diligence and background check. Membership is subject to approval by the Board of Directors and Compliance Department.

To apply to become a member, please fill out the The Financials Commissions membership application. To have a copy of the application emailed to you please send an email to: info@financialscommissions.com

Once your application has been received, it will be processed within 21 business days. You will receive a notification from our Board of Directors and will be provided with your Membership Number. Once approved, a welcome pack will be sent to you along with your Membership Certificate.

  • All potential members are required to submit the The Financials Commissions member application form.
  • You are required to make a minimum 1 year commitment to the The Financials Commissions.
  • After the membership application is approved, as a new member of the The Financials Commissions, you are required to pay your membership fees.
    • These fees are due upon approval of your application and are payable in advance for the first year.
    • Following the first year of membership, fees can be paid semiannually.
    • To have a copy of membership terms emailed to you, please send your request to: info@financialscommissions.com
  • Fee Payments
    • All fees must be paid by bank wire in Euro (€). The Commission will not accept Credit Cards, Company Checks, or Personal Checks, 3rd party payments of any kind are not allowed.

When the The Financials Commissions receives a complaint the first step is to ensure the complainant has approached the member to try and resolve it through the member’s own Internal Dispute Resolution process.

The Financials Commissions’s Rules state that every member must have a complaints contact person and an Internal Dispute Resolution (IDR) Procedure in place.

The IDR Procedures require you to give a substantive response to a complaint as soon as possible but must be within 10 business days. A substantive response shall include:

  • Acknowledging the customers complaint and
  • Where appropriate offering compensation, or
  • Reject the complaint, providing a reason for the decision

If the customer has been through your IDR Procedure and is not satisfied with the outcome, they are entitled to make a formal complaint to the The Financials Commissions.

A complaint is filed with the DRC. The DRC will verify that the proper procedures have been taken and that the client has tried to mediate the complaint with the member first. If the member and client cannot reach an agreement, the complaint will come to the DRC.

The DRC will collect information from both the member as well as the client to hear their justification for why they feel the resolution should be in their favor.

Once the DRC has collected information from both sides they will review the information provided, if they need additional information they will contact the member and or client for follow up questions.

After the DRC has reviewed everything they will issue a decision. This decision will include a description of the complaint, a detailed explanation of the findings of the DRC, as well as a final decision and resolution to the complaint.

The decision-making process and administration of DRC are independent of its members and sectors of the industry which fall within its jurisdiction and which provide its funding.

The DRC are:

  • Entirely responsible for the handling and determination of Complaints; and
  • Are accountable only to the The Financials Commissions Board.

The Financials Commissions Board is responsible for overseeing the operations of the DRC, for ensuring independent decision making on all complaints and for preserving the integrity and independence of the The Financials Commissions and of the dispute resolution processes.

To ensure that the The Financials Commissions is and continues to be, independent from any conflict of interest, the Board will be comprised of:

  • An independent Chairman; and
  • No DRC member brokers

The Financials Commissions and the DRC are not employed by any financial brokerage or affiliated with any regulatory agency in any jurisdiction.

If as a member of the DRC, you do not respond to a complaint made to the The Financials Commissions within 5 days, the DRC will provide a resolution without your input which may be detrimental to you in its final decision.

The Financials Commissions’s decision is only binding on a complainant if the complainant accepts it. If the complainant does not accept the The Financials Commissions’s decision, the complainant is at liberty to pursue any other remedies available to them in the courts or any another forum.

The Financials Commissions’s decision is binding on its members once a complainant has accepted the decision of the The Financials Commissions.

The complainant will also sign a binding document stating that they will abide by the The Financials Commissions’s decision and should they be awarded compensation, they are not entitled to seek restitution with any other legal or regulatory body.

Every The Financials Commissions decision is final and binding on a Member. Neither the Complainant nor the Member may file any appeals, and as such the The Financials Commissions’s decision is not appealable. A Member may not challenge an Order or an Award in a court or other judicial or arbitration tribunal unless there is new information that can be presented that would affect the outcome of the Complaint.

If you refuse to accept the decision and or comply with the judgment your status as a member of the The Financials Commissions will be reviewed.

Any issues that you may have with the The Financials Commissions that are not related to a complaint decision may be brought to the Chairman of the Board of the The Financials Commissions for evaluation.

Any issues with a decision from the DRC must be appealed and handled through the Head of the DRC as previously stated.

The complaints and decisions will be supplied to the member and the complainant. These will not be published unless the member does not comply with the judgment.

Note: The commission may from time to time publish anonymized random complaints for educational and comparative purposes, with any personal identifiable information removed.

The Financials Commissions will hear complaints of all monetary values. Any complaint that is for less than $250, it will be heard by 1 member of the DRC. Any complaint over $250, will be heard by a minimum of 3 members of the DRC.

Yes, all complaints must be first reviewed by the broker before they are submitted to the The Financials Commissions.

If the commission sees a pattern of abuse from one particular client, the commission will try to speak with the client and the member to figure out the root issue as to the nature of the consistent complaints.

In addition the The Financials Commissions reserves the right to refuse future complaints if the commission feels the client is abusing the system.

The Compensation Fund is a fund that acts as an insurance policy for members’ clients. This fund will be held in a separate bank account and be only used should a member refuse to adhere to a judgment from the The Financials Commissions or if a member is removed from the The Financials Commissions without paying their outstanding judgments.

The Compensation Fund is financed by the The Financials Commissions through allocation of 10% of the monthly membership dues to the fund. The Compensation Fund will only cover judgments up to €20,000 per client of a Member.

This fund will only be used for a judgment that has been made by the The Financials Commissions, a member’s entire client base are not entitled to a payout from the compensation fund. In case of shortage of funds due to number of unsatisfied cases by dealer-member, current fund balance will be equally distributed among all complainants.