Regulation (NAP) - Procedure for Customer Complaints and Reports of Financial Institutions

Central Bank of S.T.P.	NAP PERMANENT APPLICATION REGULATION	CODE RD 09
PROPOSER(S) G.G	EFFECTIVE DATE 24 / 08 /2015	ISSUANCE DATE 24 / 08 /2015	DOC. NO. 20/2015	PG 1/5

Subject: Procedure for Customer Complaints and Reports of Financial Institutions

Considering that the improvement of financial services quality is a shared objective, both by financial institutions and by clients using these services, and ultimately by the monetary, regulatory, and supervisory authority of the National Financial System;

Considering that, from this perspective, it is necessary to establish a mechanism allowing clients to submit suggestions, complaints, or request information and clarifications regarding activities and services provided by financial institutions;

Whereas it is necessary to define the set of procedures, observing the principle of expeditiousness, that financial institutions must follow when reviewing complaints or reports directly submitted to them, or those submitted to the Central Bank, subsequently involving the complained institution in their review;

Considering the provisions of paragraph 4 of Article 12 of NAP 12/2012, dated August 28, "Protection of Clients of Financial Institutions";

The Central Bank of São Tomé and Príncipe, exercising the competence established by paragraph d) of paragraph 2 of Article 8 of its Organic Law, determines the following:

CHAPTER I
General Provisions

Article 1.
(Subject Matter)

1. This regulation defines rules and procedures for the registration and handling of complaints, reports, or information requests submitted by clients of financial institutions and other institutions supervised by the Central Bank.

2. The institutions referred to in the preceding paragraph shall hereafter be designated simply as "Financial Institutions".

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Central Bank of S.T.P.	NAP PERMANENT APPLICATION REGULATION	CODE RD 09
PROPOSER(S) G.G	EFFECTIVE DATE 24 / 08 /2015	ISSUANCE DATE 24 / 08 /2015	DOC. NO. 20/2015	PG 2/5

Article 2.
(Definitions)
For the purposes of this regulation, it is considered:
a) Report: the act by which the client notifies the competent authority of the occurrence of a specific fact or the existence of a certain situation indicating a violation of legal and regulatory provisions.

b) Complaint: the act of bringing to the attention of the competent authority, through oral or written protest, situations that constitute conduct considered improper and violating the ethics and good practices of financial institutions' activities, subject to action by the Central Bank, directed at the party that performed the act.

CHAPTER II
REPORT OR COMPLAINT

Article 3.
(Right to Report or Complaint)
Any natural or legal person, client of a financial institution, has the right to report or complain about actions or conduct considered inadequate or detrimental to their interests.

Article 4.
(Requirements for Report or Complaint)

1. A report or complaint is considered valid provided it meets the following requirements:
   a) be drafted clearly, objectively, and completely; b) contain the identification of the reported or complained institution, its employee, and the reporting or complaining party.

2. Without prejudice to the identification provided in paragraph b) of the preceding number, the reporting or complaining party must provide contact information to facilitate correspondence exchange.

3. A report or complaint that does not meet the requirements set forth in paragraph 1 of this article shall not be reviewed.

Article 5.
(Oral Report or Complaint)
All oral reports or complaints submitted by the client of a financial institution must be reduced to writing, for subsequent proper handling.

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Central Bank of S.T.P.	NAP PERMANENT APPLICATION REGULATION	CODE RD 09
PROPOSER(S) G.G	EFFECTIVE DATE 24 / 08 /2015	ISSUANCE DATE 24 / 08 /2015	DOC. NO. 20/2015	PG 3/5

Article 6.
(Grounds for Report and Complaint)
The grounds for a report or complaint must relate to issues concerning the activities of the financial institution or its manner of operation, within the scope of contract execution or service provision.

CHAPTER III
PROCEDURAL RULES

Article 7.
(Submission of Report or Complaint)
A report or complaint may be submitted at the financial institution where the service was requested or directly with the Central Bank, through:
a) completion of the complaints book of the complained financial institution, which must be made available upon request; b) Letter addressed to the financial institution or to the Central Bank; c) completion of the specific form, available on the Central Bank's website: http://www.bcstp.st/Formulario.aspx.

Article 8.
(Routing of Report or Complaint to the Financial Institution)

1. A report or complaint drafted in the complaints book must be prepared in triplicate.
2. In the procedure specified in the preceding paragraph, the original remains with the complained institution, the second copy is delivered to the complainant, and the third copy remains in the complaints book.
3. A report or complaint made via letter addressed to the financial institution must be executed in duplicate, with a copy thereof signed by the person responsible for document reception and delivered to the reporting or complaining party, for evidentiary purposes.
4. When the report or complaint is forwarded to the Central Bank, the delivery of the receipt is carried out according to the terms referred to in the preceding paragraph.

Article 9.
(Time Limit)

1. The financial institution must respond to the interested party within 7 (seven) business days, counted from the date of receipt of the report or complaint.

2. The response time limit for a report or complaint submitted to the Central Bank begins to run after receipt of the information requested under Article 11 of this regulation.

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Central Bank of S.T.P.	NAP PERMANENT APPLICATION REGULATION	CODE RD 09
PROPOSER(S) G.G	EFFECTIVE DATE 24 / 08 /2015	ISSUANCE DATE 24 / 08 /2015	DOC. NO. 20/2015	PG 4/5

Article 10.
(Extension of Time Limit)
The Central Bank may exceptionally authorize an extension of the time limit set in the preceding article by up to three additional business days, justified by the complexity of the case.

Article 11.
(Request for Information)

1. The Central Bank, whenever it deems appropriate, may request complementary information and documents from the financial institution to better instruct the case.

2. The elements must be submitted within 3 (three) days.

3. Incorrect or incomplete information will be returned to the financial institution and considered not submitted.

Article 12.
(Requirements of the Decision)
The decision issued following a report or complaint must contain the following elements:
a) Identification of the parties involved in the case; b) Description of the attributed fact and obtained evidence, as well as the committed violations; c) Elements that contributed to its formulation and justification; d) A time limit of 5 (five) days to restore the situation prior to the violation of rights or to fulfill the omitted duty;

Article 13.
(Appeal)

1. The reporting or complaining party may appeal the financial institution's decision via letter addressed to the Consumer Support Office of the Central Bank.
2. The appeal provided for in the preceding paragraph must be filed within 10 (ten) days after receipt of the decision.
3. The appeal must be decided within 5 (five) business days, counted from its submission to the Central Bank.

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Central Bank of S.T.P.	NAP PERMANENT APPLICATION REGULATION	CODE RD 09
PROPOSER(S) G.G	EFFECTIVE DATE 24 / 08 /2015	ISSUANCE DATE 24 / 08 /2015	DOC. NO. 20/2015	PG 5/5

Article 14.
(Communication)
The financial institution must provide an electronic address and designate a responsible person for matters related to client reports and complaints with the Consumer Support Office of the Central Bank.

Article 15.
(Document Retention)
The retention period for documents related to reports and complaints is 5 (five) years.

Article 16.
(Sanctioning Regime)
Failure to comply with the time limits and other conditions established in this regulation subjects the infringing entity to penalties stipulated in the Instrument Regulating Access Conditions for Insurance Activities and Establishing Rules for Its Market Operation, in the Permanent Application Regulation concerning Supervisory Action and Penalty Application, and other applicable regulations.

Article 17.
(Omitted Cases)
Situations not foreseen in this regulation are resolved by the Central Bank.

Article 18.
(Effectiveness)
This regulation enters into force on the date of its publication.

Central Bank of São Tomé and Príncipe, on the 24th day of August 2015.