Complaints by Customers of Credit Institutions

Customers of credit institutions, as consumers, have the right to complain against a credit institution in case they are not satisfied with the products or services provided.


It is advised that consumers wishing to make a complaint, first address it to the relevant credit institution. 


Credit institutions operating in Cyprus are obliged to follow the Guidelines for handling consumer complaints in the securities and banking sectors, which require, among others, the Credit Institutions to:

  • set up a complaints management policy and a complaints management function
  • establish procedures providing proper information to complainants and for responding to complaints

The abovementioned Guidelines have been issued jointly by ESMA1 and EBA2  and have been fully endorsed by the Central Bank of Cyprus (CBC).


Although the CBC is empowered to supervise credit institutions, in ensuring the operation of an effective complaints handling mechanism in compliance with these guidelines it does not have restitution powers and hence does not investigate individual consumer complaints.


In case that a credit institution fails to address a complaint to the satisfaction of a consumer, the consumer is advised to file a complaint with the Financial Ombudsman of Cyprus subject to this  complaint falling within the scope of the Financial Ombudsman Law. For any other cases, the consumer is advised to take legal advice for the resolution of the dispute.




1 European Securities and Markets Authority

2 European Banking Authority