Definition
OBSI is an independent non-profit organization that offers a free complaint resolution process for consumers against member banks and investment firms.
Complaint procedure: 1. The borrower must first exhaust the bank's internal process (minimum 90 days or until final response) 2. If unsatisfied, submit a complaint to OBSI (deadline: 6 years from the problem) 3. OBSI investigates and can recommend compensation up to $350,000 4. OBSI's recommendation is not binding — but banks generally follow it to avoid negative publicity
Covered mortgage areas: - Incorrect payment or penalty application - Abusive renewal refusal - Undisclosed fees - Error in IRD calculation
In Quebec: AMF handles complaints against mortgage brokers licensed in Quebec. Desjardins caisses have their own mechanism.