The Ombudsman for Banking Services and Investments (OBSI) published its 2025 Annual Report, describing the first year in which it served as the single external complaints body for all of Canada’s banks. OBSI reported that the expanded mandate drove a sharp increase in demand, with overall inquiry and complaint volumes nearly doubling year on year, banking case volumes more than doubling, and investment case volumes rising modestly to new record highs. Total consumer inquiries rose to over 26,000, nearly 60% higher than 2024, and OBSI opened more than 6,100 investigations, up 90%. In banking, fraud remained the leading complaint issue, representing one-third of cases, with fraud investigations rising to 1,815 from 966 in 2024; service-related complaints also nearly doubled, and chargeback and product disclosure complaints increased substantially. In investments, service issues were most frequently raised, with “instructions not followed” and transfer delay complaints increasing, while investment suitability and crypto fraud-related complaints declined but remained among the top issues; common shares and mutual funds continued to lead product complaints, and complaints involving GICs and cash equivalents rose significantly. OBSI reported three systemic issues to regulators, covering banks holding consumers liable for fraudulent card transactions while consumers were attempting to report fraud, banks withdrawing or threatening to withdraw settlement and goodwill offers when a complaint is escalated to OBSI, and a series of investment cases at a specific firm involving inaccurate KYC recording, failures to follow documented risk tolerances, understated portfolio risk, and weak internal controls. The report also noted that OBSI recommendations are not binding and highlighted 2025 cases that settled below recommended compensation, alongside more than 1,300 complaints ending with monetary compensation totaling about CAD 5.8 million.
Ombudsman for Banking Services and Investments 2026-03-13
Canada's Ombudsman for Banking Services and Investments annual report shows inquiries rising to over 26,000 after becoming sole external complaints body for all banks
The Ombudsman for Banking Services and Investments (OBSI) released its 2025 Annual Report, marking its first year as the sole external complaints body for all Canadian banks. The report highlights a significant rise in demand, with inquiries and complaints nearly doubling due to banking fraud and service-related issues. OBSI identified three systemic issues for regulators and noted that its recommendations are non-binding, with over 1,300 complaints resulting in CAD 5.8 million in compensation.