Treat Customers Fairly


After the global financial crisis in 2008, countries around the world became more concerned about the protection of financial consumers, in order to rebuild the confidence of financial consumers in the financial services industry. After the Organization for Economic Cooperation and Development (OECD) passed the "G20 High-Level Principles on Financial Consumer Protection Principles" in 2011, Taiwan amended and promulgated an amendment to the "Financial Consumer Protection Act" in 2015, adding provisions to strengthen the protection of financial consumers, administrative control measures, and penal provisions. The Financial Supervisory Commission followed by announcing the "Principle and Strategy for Treating Customers Fairly". The regulations and principles all stress that financial service providers must treat financial consumers in a fair and reasonable way in the transaction process for financial products or services, and must ensure the quality of services, implement customer protection, and increase communication and interaction with customers. Financial service providers are also required to strengthen information disclosures for customers and continue to improve customers' experience through diverse communication channels.

As the elder population in Taiwan gradually increase, the financial industry not only shoulder the responsibility of providing elderly people with convenient financial services, but also need to pay attention to rights protection and lower the risks they might face. Bank SinoPac, SinoPac Securities, and SinoPac SITC implements the principle of treating customers fairly in three major areas including treating customers fairly, user-friendly financial services, and accessible financial services.

Principle of fairness and good faith when preparing contracts

The financial product or service contracts provided uphold the principles of fairness, reasonableness,equality, reciprocity, and good faith.

Principle of due care and fiduciary duty

Exercise due care and fiduciary duty of a good administrator when providing financial products or services.

Principle of truthfulness in advertising and solicitation

Ensure the truthfulness of contents when publishing or broadcasting advertisements and engaging in business solicitation or business promotion events.

Principle of product or service suitability

Fully understand product characteristics and financial consumers to ensure the suitability of a product or service for a financial consumer.

Principle of notification and disclosure

Explain important contents of financial products or services using text or other methods that can be fully understood by financial consumers, and fully disclose risks..

Principle of balance between remuneration and performance

The remuneration system for sales personnel should take into consideration customer rights and interests, as well as potential risks brought by the financial product or service to the Bank and financial consumers.

Principle of complaints protection

Establish a consumer dispute resolution system and establish complaints handling procedures and channels.

Principle of professionalism of sales personnel

Personnel who provide products or services to financial consumers have the qualifications for sales personnel required by industry laws.

Principle of friendly service

Treat financial consumers in a fair and reasonable manner, pay attention to the needs of groups such as the elderly, disabilities, and financially weakened, and provide appropriate services to implement inclusive finance.

Principle of implement ethical corporate management

Promote the implementation of the culture of implementing the principle of ethical corporate management from the top down, and provide financial consumers with financial products or services in a fair and transparent manner.

Culture Establishment and Promotion

Subsidiaries of SinoPac Holdings established rules and regulations relating to the "Principle for Treating Customers Fairly", in order to ensure that the products and services provided to customers are able to treat customers fairly from design, advertising, sales, contract performance, to service advisory.

SinoPac Holdings and its subsidiaries all take financial consumer protection very seriously, and view the Principle for Treating Customers Fairly as the core principle of their corporate culture, becoming the value system and code of conduct all companies comply with. The principles provide a basis for employees to protect customer rights and interests, and also strengthen compliance with financial consumer protection related laws and regulations, increasing consumer confidence in the Company to achieve sustainable development.