THE HKMA

What to do if you have a complaint about banking products or services

This page (also available in form of a leaflet, PDF file) sets out the Hong Kong Monetary Authority (HKMA)’s role and procedures in handling customer complaints about banking products or services.

Who we are

The HKMA is the government authority responsible for promoting the stability and effective working of the banking system. Financial institutions (referred as banks below) authorized by the HKMA include licensed banks, restricted licence banks and deposit-taking companies.

The HKMA's responsibility under the Banking Ordinance is to ensure that banks are financially sound and prudently managed. The HKMA has no statutory responsibility for consumer protection. It has a limited role in monitoring the handling of customer complaints by banks, and has issued a guideline to banks on the handling of customer complaints which requires them to handle such complaints thoroughly and promptly.

What we can do

	ensure that the handling of complaints by banks is fair and efficient
	follow up complaints against banks which raise issues of supervisory concern

What we cannot do

	intervene in banks' commercial decisions
	arbitrate disputes between banks and their customers
	order banks to pay compensation to their customers

What to do if you have a complaint

Many complaints arise from misunderstanding or mismatch of expectations, and they can often be resolved after you have talked to the bank. Bank staff will be able to tell you how to lodge a complaint with the bank’s designated complaint handling officer. Contact details of banks' complaint handling officers can also be found on the HKMA website (http://www.info.gov.hk/hkma/eng/consumer/Banks_contact_persons.doc).

If the bank concerned has not fully addressed your complaint or has not sent you a final response within 30 days¹ after receiving your complaint, you may seek assistance from the HKMA.

¹Up to 60 days is allowed for the final reply in more complicated cases. But the bank should give the complainant an interim reply within 30 days explaining why a longer period is required.

How the HKMA handles customer complaints

The Banking Services Complaint Unit reviews all complaints received by the HKMA to decide whether and how they can be taken further. Upon receipt of a written complaint, we will examine it and the written response from the bank concerned. Our focus is on whether the bank’s complaint handling procedures are working properly. Based on the assessment, we will decide whether we should refer the complaint to the bank for further investigation. Not all complaints will be referred to banks. If the matter of complaint is purely commercial, such as cost or quality of banking services, and the bank has handled the complaint in full, we will not take any further action (see Example 1).

Should there be concerns about the bank's handling of the complaint, we will refer the complaint to the bank for re-investigation and a further reply to the complainant, normally within 30 days. We will monitor the bank’s handling process and review the reply to the complainant to check that the bank’s complaint handling procedures are appropriate and working properly (see Example 2).

The HKMA will assess complaints related to the securities and futures business of banks having regard to the relevant legislation. We will assess if such complaints relate to misconduct or non-compliance with the rules and guidelines set by the Securities and Futures Commission. The complainant will be advised of the course of action to follow.

Some complaints may raise issues of supervisory concern. These would include complaints which indicate that the bank has breached the Code of Banking Practice, or other guidelines or regulations issued by the HKMA. The HKMA has a supervisory interest in cases where a bank may have acted in a way that is improper or imprudent. The HKMA will pursue these issues of supervisory concern with the bank, and where necessary, require remedial action to be taken by the bank.

It should be noted that any measures taken by the HKMA will not alter the fact that it cannot order the bank to pay compensation to the complainant. Also, the HKMA's ability to disclose to the complainant the outcome of its investigation and any measures taken against the bank is constrained by the confidentiality provisions of the Banking Ordinance.

Example 1

Mr X had not used his savings account held with Bank A for the last five years and decided to close the account. At the time of account closure, he found that Bank A had debited a fee of HK$100 to his account every six months since the account became dormant 4 years ago. Mr X complained that Bank A had never advised him of the levy of such fee.

HKMA's assessment

The setting of fees and charges for banking services is a commercial decision of banks. Despite that, banks are required to maintain transparency in respect of their fees and charges as specified in the Code of Banking Practice. In Mr X's case, the HKMA noted that Bank A had not only included dormant account fee in its standard fee schedule, it had also sent a notice to Mr X 30 days before the fee was levied for the first time. Since Bank A had replied to Mr X's complaint and explained the steps taken to advise Mr X of the levy of the fee, the HKMA did not see a need to follow up Mr X's case with Bank A further.

Example 2

Mr Y tried to deposit a cheque into his savings account with Bank B on a Saturday morning. The teller told him that the bank would not accept over-counter cheque deposit on Saturday but that he could place his cheque in the cheque deposit box. Mr Y later found out that the funds arising from the cheque were not available on the following Monday. He lodged a complaint with Bank B and was told that the funds would be available on Tuesday afternoon. There was no further explanation from Bank B. He complained to the HKMA that Bank B refused to provide over-counter cheque deposit service on Saturday and caused delay in clearing his cheque.

HKMA's assessment

The HKMA noted that under the five-day clearing week, cheque clearing took place from Monday to Friday only. In this case, Bank B should explain to Mr Y that banks did not provide cheque clearing facility on Saturday, and that the cheque placed in the cheque deposit box on Saturday would be treated as if it was deposited on the next clearing day, which was Monday in this case, and that the funds would be available on Tuesday. The HKMA referred the case to Bank B and asked it to provide a more thorough reply to Mr Y. The HKMA also followed up with Bank B to ascertain if any improvement to its complaint handling procedures needed to be made.

How to lodge a complaint with the HKMA

Your complaint should be in writing, with a full description of the incident, your name and contact details, and should enclose copies of supporting documents such as correspondence with the bank, customer agreements, account statements and marketing materials. Complaints without sufficient information will be difficult to process. Please contact us by telephone if you have any individual difficulties which might prevent you from making a written complaint.

To lodge a complaint with the HKMA, you can:

	send a complaint letter by post or by fax to 2509 3990
	complete the complaint form available on our website (http://www.info.gov.hk/hkma/eng/consumer/index.htm)
	send an email to bankcomplaints@hkma.gov.hk

Privacy policy statement

You may choose to supply the HKMA with your personal data when you lodge a complaint with us. If the data you provide are inaccurate or incomplete, the processing of your complaint may be affected. Subject to the provisions of the Personal Data (Privacy) Ordinance, all personal data submitted to us will only be used for purposes which are directly related to the complaint. Personal data collected by us in the course of handling a complaint may be used by, or disclosed to, or transferred to, third parties (including the party being complained of, regulatory bodies, law enforcement agencies or other parties concerned).

If you wish to access or correct your personal data supplied to us by you, you may do so in writing. Any such request should be addressed to the Banking Services Complaint Unit of the HKMA for the attention of the Personal Data Privacy Officer. The HKMA may charge a reasonable fee for complying with a data access request.

Banking Services Complaint Unit
Hong Kong Monetary Authority

55/F, Two International Finance Centre
8 Finance Street, Central, Hong Kong
Website: www.hkma.gov.hk
Telephone: 2878 1378

Related Information:

Press Release
22 July 2002	- Complaint handling procedures for bank customers

Circular
22 July 2002	- Complaint handling procedures

Back to "Consumer Information" main page

Updated on 1 February 2008