All RE5 questions
Regulatory Bodies Complaints Management FAIS Ombud
Which ONE of the following statements is correct regarding the **Ombud for Financial Services Providers (FAIS Ombud)**?
RE5 practice question with a worked answer. This is one of hundreds of FSCA RE5 questions in the RegulatoryExams question bank.
- a) The Ombud's primary role is to issue FSP licenses.
- b) The Ombud resolves disputes between clients and FSPs in an informal, fair, and expeditious manner.Correct
- c) The Ombud's decisions are only recommendations and are not legally binding.
- d) The Ombud is responsible for prosecuting criminal FSPs.
Why this is the answer
The FAIS Ombud is a statutory body (FAIS Act, Sec 27) created to resolve disputes between clients and FSPs. Its process is designed to be informal, quick (expeditious), and procedurally fair, as an alternative to the civil courts.
Want to test yourself on 700+ more questions like this?
Start your free RE5 simulator today — timed mock exams, full answer explanations and cloud-synced progress tracking.