By Tkay Nthebe
“People tend to forget their duties but remember their rights” Indira Gandhi
As consumers of financial products, you have a right to be treated fairly by financial services providers (FSPs), be given honest and correct advice as discussed in the last article titled “Do you know your rights as a consumer of financial products”. While it is key to know your rights, it is equally important to remember that you also have responsibilities towards the Financial Services Providers (FSP).
Often times, consumers visit FSPs (which includes banks, insurance companies and micro finance institutions) to buy products and services with the goal of enhancing the quality of their lives. Examples include taking personal loans to pay for school fees, buying cars via vehicle finance, taking out insurance policies to cater for funeral expenses or house contents cover etc. As a consumer of financial products, you have a responsibility or duty to honour the financial obligations you’ve agreed to, which consumers sometimes forget. I’ve read about cases where consumers made the decision to stop paying back their loans without discussing or informing their FSP, which is not good behaviour. In this article, I will discuss some of the obligations financial consumers have in the infographic below.
Why is it important to honour our obligations as consumers?
Just like FSPs have a responsibility to provide value adding relationships to its clients, you also have the same responsibility to the FSP. In a similar fashion, FSPs have a right to be treated fairly, with honesty and respect by consumers of financial products. This also includes open and timely communication where the client’s financial circumstances change due to loss of income, which could negatively impact the ability to repay loans or premiums.
It is therefore important for consumers of financial products to be responsible and behave ethically. Like Indira Gandhi said, do not be a consumer that only knows their rights, but forget their responsibilities.
Disclaimer: The views and opinions expressed in the article are those of the author.
