Evidence of meeting #67 for Finance in the 39th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was banks.
A recording is available from Parliament.
Acting Commissioner, Financial Consumer Agency of Canada
Are you referring to the mystery shop results?
NDP
Judy Wasylycia-Leis NDP Winnipeg North, MB
No, now I'm asking you generally. You must know how many bank branches and banks generally have violated the Bank Act at one time or another, in the time you've been there.
February 19th, 2007 / 6:25 p.m.
Acting Commissioner, Financial Consumer Agency of Canada
In this summary, we have provided the number of violations at least to 2006. With respect to—
NDP
Judy Wasylycia-Leis NDP Winnipeg North, MB
I'm asking about how many banks and how bank branches. This tells me there might be thirty violations of failure to give information on interest rates, but I'm asking how many bank branches and how many banks have been in violation of the Bank Act.
Acting Commissioner, Financial Consumer Agency of Canada
It would be the banks that we'd focus on, not the branches.
NDP
Judy Wasylycia-Leis NDP Winnipeg North, MB
Can you give us a breakdown with the branches? You're in charge of protecting the consumer, so you must be able to give us those numbers.
Acting Commissioner, Financial Consumer Agency of Canada
I'll give you an example. If we have a problem with, for example, the co-borrower issue that is before you in terms of providing disclosure to all borrowers, we've found that in the case of joint borrowers, that was not the case. Unless it related to a particular branch, it was a general policy that existed within a bank. Therefore, you won't find specific violations that are named for a branch.
NDP
Judy Wasylycia-Leis NDP Winnipeg North, MB
But that wouldn't necessarily be the case, right? It could be some individual bank branches that make their own decisions.
Acting Commissioner, Financial Consumer Agency of Canada
We would go after the corporate entity.
NDP
Judy Wasylycia-Leis NDP Winnipeg North, MB
So you could give us the full information in terms of the number of banks and the number of bank branches.
NDP
Judy Wasylycia-Leis NDP Winnipeg North, MB
That would be helpful.
This is my last question. I know you're hamstrung by the fact that the legislation now prohibits you from naming any financial institutions that have violated the law. Would it not help if we could somehow correct that, so that you could name the financial institutions in order that consumers could be aware? They could then make honest decisions based on accurate information. Wouldn't that be a fundamental first step that we should be taking?
Acting Commissioner, Financial Consumer Agency of Canada
There is the policy balance. Certainly there's transparency on one hand, and then there's the other in terms of when you have an administrative process like ours, where the institutions, as well as the client, can provide information to the regulator with an element of confidence that the information doesn't get broadcast.
Whether or not we have the same level of cooperation from the institutions within the context of a completely transparent process would be a policy—
NDP
Liberal
The Vice-Chair Liberal Massimo Pacetti
Thank you, Ms. Wasylycia-Leis.
If I can end there, if we can get ratings on restaurants, wines, and all types of different consumer products, I'm sure we can do that with the banks. If you don't want to name them, at least rank them. We get it with the credit cards, so I think that would be something that should be considered.
If you are able to provide the information Ms. Wasylycia-Leis asked for, provide it through the clerk's office. I think all members would appreciate it.
Again, members, if we can get the amendments tomorrow, we'll see you tomorrow for clause-by-clause at 11 o'clock.
There will be food.
Witnesses, thank you very much for taking time out of your day. It was very interesting.
The meeting is adjourned.