Effectively managing consumer complaints is challenging for any business and the finance industry is definitely no exception.
In their 2019 Six Month Report, the Australian Financial Complaints Authority (AFCA) identified the top five banking and finance issues as:
- Credit reporting
- Unauthorised transactions
- Responsible lending
- Misleading product or service information
- Incorrect fees or costs
These common issues usually have emotional dimensions that can make the nature of the complaints more adversarial than those in other sectors. An effective complaints management process understands and reflects this, working with the customer to obtain a desirable outcome for both parties.
Complaints management doesn’t have to be complicated. Read on for our simple guide to manage complaints in the finance industry.
It may seem obvious, but offering the customer a genuine apology for any inconvenience caused is a key part of handling complaints well. By empathising with the situation at hand, you can create deeper and more trustful relationships with your clients and in turn, you’ll have a higher return on investment!
It’s easy for customers to get overwhelmed by the complexity and intangibility of the finance world…
To ease their concerns, transparency is key. Poor communication can lead to a mistrust in the business, so set clear and realistic expectations for the customer and keep them updated throughout the process.
Identify the Cause
It’s important for businesses in the finance sector to avoid thinking of complaints management as an exercise in compliance and instead view it as an opportunity to better frameworks within the institution.
Getting to the root of the issue is essential in solving the current problem, but it is also helpful in identifying areas in your business that require improvement. In this way, you are able to optimise the complaints management process to provide an enhanced experience for future and returning customers.
Effective internal communication is just as important as the communication with the customer. However, this can be difficult to implement, particularly in bigger companies.
At Complaints Pro, we offer a cloud-based quality assurance software that allows you and your staff to securely archive and instantly access every complaint, so you can ensure your customer remains informed, the root issue is identified and the necessary improvements can be made.