Azernews.Az

By Nigar Abbasova

The Financial Ombudsman Service is expected to appear in Azerbaijan to promote stable and constructive resolution of a dispute between customers and providers of financial services.

Executive director of Azerbaijan’s Banks Association Yunus Abdulov said that a clause on activities of ombudsman has already been approved, while the decision was taken during the recent general meeting of the institution.

Following the approval of a regulation that is expected to take place within two months, an ombudsman will get a right to consider disputes between banks and clients. The institution will be entitled to provide a quick and efficient resolution to disputes without going to court.

The financial ombudsman is expected to consider issues the cost of which do not exceed some $2,000. The limit is linked to the fact that the resolution of claims worth insignificant amount by going to court is not advantageous, as court services are more expensive than the benefit from satisfaction of the lawsuit itself.

However, the right of the customer or the bank to seek resolution of the dispute in court will not be restricted.

Also, customers will be able to raise claims only against banks that are signatories of the declaration on the consideration of disputes by the ombudsman.

The types of disputes that can not be considered by the ombudsman include matters that have already been dealt with by a court or is under consideration of a court by the time of appeal, as well as some matters which are the subjects of legal proceedings.

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Nigar Abbasova is AzerNews’ staff journalist, follow her on Twitter: @nigyar_abbasova

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