Stronger financial-product purchase protection in law
Stronger protections for people buying financial products or services online or over the telephone have been signed into law.
Tánaiste and Minister for Finance Simon Harris said that online consumers should have the same protections as those buying in person.
The regulations are part of an EU directive on financial-services contracts concluded at a distance.
“More and more people are choosing to buy financial products and services online, and consumers should have the same confidence and protections in the digital marketplace as they do in person,” he said.
Practical changes
“Whether it’s the right to speak to a real person instead of relying solely on an automated system, clearer information before making a decision, or an easier way to cancel an eligible contract, these are practical changes that will make a real difference for consumers,” he added.
Under the new rules, consumers:
- Can request human intervention rather than relying solely on automated online systems when buying a financial product or service,
- Will receive clearer information before signing up for financial products or services bought online or over the phone,
- Will be better protected from marketing practices designed to influence or pressure purchasing decisions, and
- Can more easily withdraw from eligible online financial contracts through a clear and accessible cancellation function.
To give effect to the transposing measures, the statutory instrument inserts a new Part 5A into the existing Consumer Rights Act 2022.