Yesterday the European Banking Authority (EBA) published its factsheet setting out key steps that should be taken by consumers when selecting mobile and online financial services.

The factsheet suggests that consumers should take the following into consideration when selecting digital financial services:

  • they should make sure that they fully understand terms and conditions, the terms of their rights of withdrawal and what would happen if things went wrong;
  • they should be clear on pricing;
  • they should be aware of how the service provider is protecting their personal information and online security; and
  • they should exercise good cybersecurity hygiene themselves by using secure WiFi connections, strong passwords and anti-virus software.

The factsheet also provides the consumer with information on how to make a complaint.

Financial service providers can do their bit in helping consumers make an informed choice by:

  • ensuring terms and conditions are easy to read, with clear explanations of the rights and obligations of customers, and no confusing language;
  • ensuring the consumer can easily access (and download) copies of the terms and conditions and any relevant policies or privacy notices;
  • ensuring that pricing models are transparent and will not result in unexpected charges for the consumer;
  • maintaining best practice in information and cyber security standards and accreditations (and referencing these on their websites) and requiring consumers to set strong user credentials;
  • providing clear explanations to the consumer of how their data will be kept secure; and
  • dealing with any complaints in a prompt and helpful manner.