Hello learners. It is Fenrir. We have reached the final level. We have learned how to earn save invest and borrow. But today we are talking about power. Specifically your power as a consumer in the European Union. In the EU you are protected by some of the strongest consumer laws in the world. Understands that in the EU consumer protection measures apply equally to financial operations by regulated entities whether carried out digitally or physically. It does not matter if you walk into a bank branch on Main Street or use an app on your smartphone. The rules are the same. Financial service providers have a duty to treat consumers fairly and to ensure information is clear and transparent. But this protection relies on you taking action. Checks that a financial service provider whether operating physically or digitally is authorised registered or regulated by the competent national authorities. Before you hand over a single Euro look for the license number on their website. Checks information about financial service providers that have contravened regulation or treated consumers unfairly. You can check the website of your national regulator or the European Supervisory Authorities to see if a company has been fined or blacklisted. Aware of the possibility to check whether the provider is authorised or licenced. If they are not on the list they are likely unregulated. Aware that some financial products and services may not be regulated and supervised at EU or national level. If you buy an unregulated product you have no safety net. No deposit guarantee. No ombudsman. Understands that some aspects of consumer protection rely on the consumer taking note of information provided. You must read the documents they give you. Reads and checks product information and disclosure documents also when provided electronically. Do not just scroll to the bottom and click accept. Read it.Reading is the first step Fenrir but action is the second. What do you do if things go wrong? You have the right to complain. Aware of the existence of redress mechanisms and how to access them if necessary. If a bank charges you a fee they should not or an insurer refuses a valid claim do not just accept it. Makes a complaint to the relevant department of a financial provider. This is step one. Write to them formally. If they do not fix it you move to step two. Aware of the existence of out of court dispute resolution mechanisms including online alternative dispute resolution tools. These are designed to be faster and cheaper than going to court. Knows the relevant body in their jurisdiction where a complaint about products and services including those sold online can be deposited. This is often called a Financial Ombudsman or you can use FIN NET which helps settle cross border disputes in the EU. Confident to make a judgment on the quality of service and protection provided by a financial service provider. If the service is bad complain. Is prepared to seek redress if things go wrong. Also remember your specific rights. Aware of ones rights and obligations when purchasing a financial product or service. For example Aware of ones consumer rights related to e commerce and online transactions such as full price disclosure and conditions for exchanges returns and refunds. If you buy a financial product online you often have a fourteen day cooling off period where you can cancel for free. Aware of ones rights in the event of unauthorised or improperly executed payment. If someone hacks your account under PSD2 rules the bank must refund you unless you were grossly negligent. Knows the legal right to contest a decision taken by an algorithm. If a computer denies your loan application you have the right to ask for a human to review it. Values the rights of financial consumers. Use them.Your rights also extend to your digital self. We live in an age of data. Understands that consumers of financial services enjoy rights with respect to their personal data and that they have discretionary control over it. You own your data not the bank. Aware of the existence of national authorities in charge of data protection. If a company misuses your data you can report them under GDPR rules. But you must be careful. Understands the financial consequences and risks of sharing or disclosing personal data. When you share your data companies use it. Understands that financial service providers and companies may store personal information to personalize offers based on the customers stored profile. They use this to infer your price sensitivity. This means if their algorithm thinks you are willing to pay more they might charge you a higher price for insurance or a loan. This is called price discrimination. They also track your behavior. To track certain relevant actions and behaviour of customers during the contract period. For example telematics in car insurance tracks your driving. If you drive fast your premium goes up. Aware of the security implications on personal data of storing financial documents online. Able to protect personal data online. Assesses personal data requests by financial service providers to decide whether it is relevant to provide such information. If an app asks for your contacts list ask why. If it is not necessary say no. Appropriately manages ones own digital footprint in a financial context. Confident to revoke authorisations to access use or store personal data from financial service providers and companies when necessary. You can tell them to delete your data. It is your right to be forgotten.Data is currency Aoede and so is knowledge. In this complex world we often need help. This brings us to Financial Advice. Aware that financial advice can be sought when making financial choices and knows when financial advice may be useful. But be careful. Aware that some sources of financial education may not be impartial and may be hidden promotional material. You must distinguish between a salesperson and an advisor. Aware of the difference between independent and non independent sources of investment advice as defined under EU law. An independent advisor works for you and is paid by you. They look at the whole market to find the best product for you. A non independent advisor is often paid a commission by the product provider. They might sell you a product because it pays them the most not because it is best for you. Aware that advice is not always independent. Always ask how are you paid? Confident in ones own ability to recognise trustworthy sources of advice. Also look at technology. Aware of the existence of digital advising tools including robo and hybrid advice tools that combine human and robo advice. These can be great low cost options but you must verify them. Aware of financial advisors obligation to ask clients about their sustainability preferences before giving advice. In the EU advisors must ask you if you want green investments. If they do not ask they are breaking the rules. Finds learns and remembers important facts and information about financial matters. Confident to research financial matters and critically assess the information provided. Do not just blindly follow. Understands that information provided by financial service providers may be marketing information. Verify everything.Finally we must look outward. We do not exist in a bubble. External Influences shape our financial lives. Understands how economic factors such as a recession or high inflation and other factors for example related to the climate the environment or pandemic diseases can affect aspects of personal financial status. Inflation eats your savings. A recession threatens your job. Climate change increases your insurance costs. You cannot control these things but you can adapt. Follows news of events that may impact on personal financial security or well being. Understands that changes to policies on issues such as state benefits interest rates pension reforms or employment laws can have an impact. If the government raises the retirement age you need to adjust your plan. Confident to make changes to financial plans as necessary in light of external factors. Identifies strategies to ensure the resilience of financial assets to medium to long term factors and risks.And that brings us to the end of our course. We have covered earning saving investing borrowing and protecting. You now have the theory.But theory is nothing without practice. We encourage you to explore our applications and our platform. Use the tools available to apply this knowledge to your real life.Build your budget. Track your spending. Plan your investments. The platform is designed to be your copilot.We wish you the very best of luck on your financial journey. You are no longer just a passenger in the economy. You are the pilot. Fly safe and prosper.Thank you for learning with us. Goodbye!
