F.A.Q.

Fin-regulator and its related organizations is a new independent agency specializing in Forex and CFDs. Its main task is to resolve disputes between brokers and clients arising in the course of trading on the foreign exchange markets.

Fin-regulator is not an arbitration body and is not subject to jurisdiction. The key principles of the company’s work include transparency and ease of interaction. Fin-regulator’s activities cover a variety of tasks and do not depend on the amount of the claim. Cooperation with us provides traders with protection and confidence in honest service, while brokers can receive an objective opinion and independent third-party response on matters of doubt.

The Head of the Dispute Resolution Committee (DRC) reviews each claim received and also analyzes whether the client’s personal broker has used all available mechanisms to resolve the dispute. If there is no agreement between the parties, the claim is referred to the Committee for consideration.

The CPC representative requests full information on the disputed issue, including arguments of both parties, and processes the provided data. Only after receiving the necessary information in full can the Committee consider the claims and make its decision, providing a detailed explanation of each aspect of the conclusion regarding the client and the responsible party.

The administration of the Independent Dispute Review Committee is fully autonomous and independent of brokers, making decisions impartially and autonomously.

Members of the Dispute Review Committee:

– Responsible for analyzing claims and rendering a verdict.
– Accountable solely to superiors.

The highest governing body of Fin-Regulator is the Board of Directors (BoD). Its members oversee the work of the Dispute Committee and ensure transparency of its activities.

Fin-Regulator’s independence is ensured by the objectivity and impartiality of the Chairman of the BOD, as well as the absence of brokerage companies in its composition, which eliminates conflicts of interest.

Brokerage firms do not influence the activities of the Fin-Regulator and the Dispute Review Committee, and the latter do not cooperate with the organizations that regulate their activities.

Fin-Regulator adheres to the privacy policy and does not post decisions on disputable situations on publicly available resources. The exception is cases when a broker refuses to fulfill the Commission’s order. All responses to claims are sent to the parties concerned, including the broker and the client.

We do not have such restrictions in our organization. However, if the amount is less than $250, situations will be reviewed by only one committee member. In cases where the amount exceeds $250, the investigation is conducted by a committee of three or more members.

Compensation Fund (CF) is a type of insurance for clients with a special bank account. Funds from this account are used to reimburse clients’ claims when a broker refuses to honor a Fin-Regulator’s decision.

The QF is funded by withholding 10% of the membership dues each month.

The maximum amounts of payments from the Compensation Fund are limited:

– 20 000 euro for one decision in favor of the client of a category A company (with the possibility of cryptocurrency trading).
– 5 000 euros per one solution for the company’s Category B clients (without the ability to trade cryptocurrency).

Payments from the Compensation Fund are made exclusively for claims reviewed by the Fin-Regulator. In case of insufficient funds in the Compensation Fund account, the amount is distributed proportionally among unsatisfied claims.

Fin-Regulator is an autonomous organization not supported by regulatory authorities and specializes in resolving ambiguous situations arising in the foreign exchange markets. It is a guarantor of fair resolution of claims from both clients and brokers. Disputes are resolved professionally, promptly and objectively, providing a reasonable answer for each party to the dispute.

Fin-Regulator accepts all claims without exception, regardless of the amount. Traders are protected from potentially unfair activities of brokers, who in turn have the opportunity to request a third-party opinion on any disputed case.

Joining Fin-Regulator provides an opportunity to effectively control and manage risk and meet the needs of clients who wish to trade fairly in the foreign exchange markets with equal protection for the interests of all parties. By joining Fin-Regulator, you publicly ensure that your clients trade in the foreign exchange market in accordance with the highest global standards and express your willingness to resolve any disputes.

Clients receive independent and professional support in dealing with ambiguous situations.

Fin-Regulator members gain an effective tool to mitigate reputational risks. By contacting Fin-Regulator’s Dispute Resolution Committee, both companies and their clients save money and time by receiving a qualified and reasonable resolution of situations.

From the moment a request is received, it is processed within one month. If the Board of Directors and the Compliance Office approve your company, you are notified and assigned a unique number. A Fin-Regulator membership certificate and welcome packet are mailed to you.

The minimum term of membership in the Fin-Regulator is 1 year. Once a Fin-Regulator application is approved, the new member is required to pay dues, which are collected twice a year.

For membership terms and conditions, you can request relevant information by emailing [email protected].

Fin-Regulator offers two categories of membership:

A – allows an unlimited number of claims to be processed.
B – limits the number of claims per month.

Depending on the category of membership, the amount of the fee differs. If the monthly claim limit is exceeded, the fee for additional proceedings is calculated separately.

You can pay your dues by bank transfer. Payments will not be accepted if received:

– From third parties,
– using credit cards,
– in the form of personal or corporate checks.

Once a claim is registered, Fin-Regulator representatives check to see if the broker has reviewed it.

Under Fin-Regulator rules, each member organization is required to file a claim for internal review, identifying a contact person responsible for accepting claims and communicating with the Commission.

Each Fin-Regulator member must review the complaint and provide a response to the client within 10 business days. The document must include all aspects of the dispute, the rationale for the decision (whether the complaint is accepted or denied), and the amount of damages. If the client is not satisfied with the dispute resolution option adopted after internal review of the claim, there is an option to refer the claim to the Fin-Regulator.

At the initial stage, the Dispute Review Committee (DRC) checks whether an appeal has been received and whether the claim has been considered by the client’s personal stockbroker. In case the client and the broker do not reach an agreement independently, the dispute is transferred to the Financial Committee for consideration.

Fin-Regulator processes the information provided by the parties to the claim, including arguments and evidence from both sides of the dispute.

The client and the defendant are obliged to provide the most complete information regarding the disputed situation in order to reach an objective decision. The Fin-Regulator’s verdict on a claim includes a detailed explanation of each point of the opinion.

Fin-Regulator members have no ability to influence the final decision on claims, and Fin-Regulator management is uninfluenced by local regulators and brokerage firms.

Representatives of the Dispute Review Committee (DRC) report exclusively to the Board of Directors and are responsible for the decision made on each issue.

The Board of Directors oversees the operations of the DRC, ensures transparency in the handling of complaints and the Fin-Regulator is not biased in general.

An independent chairman at the helm of the Board of Directors precludes brokerage firm admissions, thereby ensuring autonomy and impartiality in adjudicating claims. The Fin-Regulator and the DRC are not affiliated with specific brokerage firms or affiliates of regulators.

Each Fin-Regulator member is required to provide a response to a customer complaint within five business days. If a complaint remains unanswered after this deadline, the Dispute Review Committee (DRC) will organize a resolution of the dispute without the participation of the member, which may result in possible negative consequences for that participant.

From the moment a client agrees to the Fin-Regulator’s decision on a claim, it becomes binding on the client. In case of disagreement with the Fin-Regulator’s decision, the client is entitled to seek an alternative solution from various legal authorities.

If the applicant agrees with the Fin-Regulator’s decision, the members of the organization are bound by it.

Clients sign documents in which they undertake to comply with the Fin-Regulator’s decision. In particular, when providing compensation, the applicant waives the right to claim compensation from other organizations and the right to claim compensation through third party mediation.

Under the Fin-Regulator’s rules, the decision on claims is binding on each of its members. Fin-Regulator member companies may not appeal or complain about the Commission’s decision. The exception is if a Fin-Regulator member receives new information about a proceeding that may affect the final decision, in which case it may file a lawsuit with a court or other governmental authority.

If a Fin-Regulator member refuses to accept a ruling or fails to comply with the terms of the order, his or her membership in the Fin-Regulator may be reviewed.

Disagreements unrelated to the resolution of a claim and arising from Fin-Regulator participants are referred to the Chairman of the Board. All disagreements arising in the course of the dispute resolution process are subject to appeal and mediation by the head of the Dispute Resolution Committee (DRC).

Information related to the processing of claims, including the decision of the Dispute Review Committee (DRC), is sent exclusively to the parties involved – the broker and the customer. If the defendant refuses to comply with the Fin-Regulator’s order, this information is made available on our website.

Claims can be filed for any amount, but a claim for less than $250 is handled by one Fin-Regulator member. Claims over $250 are handled by three or more Fin-Regulator members.

The first stage of the claim is assigned to the broker and then the case is forwarded to the Fin-Regulator.

If the Commission identifies abuse by a complainant in relation to a grievance, an explanatory interview shall be held with the complainant to ascertain the source of the regular grievances.

Fin-Regulator may refuse to accept new claims from a client if abuse of the system is discovered.

The Compensation Fund (CF) plays a key role in providing insurance for Fin-Regulator member clients and additionally protects the interests of traders. The funds are kept in a special account in a bank and are used in case a member company refuses to comply with decisions made by the Fin-Regulator.

To fund the CF, 10% of the monthly membership dues are withheld in its favor.

The CF applies to all clients who are Fin-Regulator members. The Fund’s resources are activated in a situation where a broker refuses to compensate a client for losses.

The upper limit on the amount of compensation is €20,000 for clients of category A companies and €5,000 for clients of category B companies.

CF funds are used solely for reimbursements for claims reviewed by the Fin-Regulator.

If the funds in the accounts of the CF are insufficient to cover all outstanding decisions, the amount shall be distributed proportionally among all uncompensated claims. The Compensation Fund shall not be used in resolving disputes related to trading in digital currencies.