The Financial Markets Watchdog safeguarding consumer rights in Germany

03/12/2014

The Financial Markets Watchdog will monitor the financial markets for any issues which could cause disadvantages for consumers. Further, the Financial Markets Watchdog will be responsible for collecting consumer complaints throughout Germany. Any grievances observed shall be reported to the competent authorities in particular to the Federal Financial Authority (Bundesanstalt für Finanzdienstleistungsaufsicht). The establishment of a Financial Markets Watchdog was deemed necessary, because a variety of financial service providers which are offering products only to consumers are not supervised by the Federal Financial Authority.

The Financial Markets Watchdog will start operating in February 2015.The initial financing of € 1.5 million is being provided by the Ministry of Justice and Consumer Protection (Bundesministerium der Justiz und für Verbraucherschutz).