Monday, July 2 2012 18:20
Only 17% of Armenia's citizens formally make use of financial services
ArmInfo. Only 17% of Armenia's citizens formally make use of financial services. Most people do not trust financial organizations, Susan Rutiedge, Head of the Global Program on Consumer Protection and Financial Literacy, World Bank, said at today's Dissemination Workshop "Financial Consumer Protection and Financial Education in Armenia" in Yerevan.
The WB specialists point out that literacy enhancement may increase the confidence in the financial organizations. The WB survey says that very often advertising of financial services has nothing to do with the reality, and the provided services should be more comprehensible.
Deputy Chairman of the Central Bank of Armenia Nerses Yeritsyan pointed out that since 2007 the Bank has taken a number of measures. In particular, a department for the protection of consumers' rights has been created in the CB, the Financial Ombudsperson's Office has been set up, and a number of education events have been held.
Financial Ombudsperson of Armenia Piruza Sargsyan said that the number of the complaints about financial organizations has recently increased and this is explained by the growth of literacy of the financial services consumers. "The consumers know that they can always apply to our office for protection", she said. Sargsyan said that in 2011 the Financial Ombudsperson's Office received 144 written complaints, and in 2012 - 160 written complaints. The complaints mostly concern the insurance companies providing services of motor third party liability insurance. This institute is comparatively new, as it was launched in 2010, she said. 71.8% of the complaints are settled in favor of consumers and in most cases a peace agreement is signed with the financial organizations via the Financial Ombudsperson's Office, she said.
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