The Ombudsman for Banking Services and Investments (OBSI) received 26,024 inquiries last year, up nearly 60% from 16,419 the year before, according to the complaints agency’s 2025 annual report.
Of the 2025 inquiries, which included both requests for information and complaints, 21,817 were related to banks, up 68% compared to 2024, and 1,966 were related to investment firms, up 8%.
Despite the increased number of inquiries in 2025, just 269, or about 1% were referred to a regulator. In addition, 194 were directed to a different ombuds service and 45 to an another complaints body.
Uptick in investment cases
OBSI opened investigations for 6,498 cases in 2025, of which 672 were about investments. That was up 3% compared to 2024, reaching an all-time high, according to the report.
There were “moderate increases in investment cases for most investment sectors, led by service issues, which included a wide range of problems such as miscommunication and errors. Complaints related to suitability were moderate throughout the year, which is expected when market performance is strong,” the report said.
The cases involved 103 investment firms, and bank dealers were frequent fliers. It took, on average, 63 days to resolve a case with an investment firm and the average compensation amount was $9,207.
The most common investment issues were about services (114 cases, up 12% from 2024) and instructions not being followed (87 cases, up 81%), followed by investment suitability (75 cases, down 30%).
At the same time, the investment products most commonly involved in cases were common shares (256 cases, up 11%), mutual funds (211 cases, up 6%) and crypto assets (67, down 25%).
OBSI also saw a series of cases with one specific firm inaccurately recording know your client information, failing to follow documented risk tolerances, understating the risk of securities in client portfolios and lacking internal controls to prevent inappropriate practices. The complaints agency did not name the firm.
Lowball settlements a persistent problem
Since OBSI’s recommendations aren’t binding, firms are offering less than the recommended fair compensation in many cases, it said in its report. It added that consumers accept these offers as they have no other options.
Banks tend to offer amounts equal to or above the recommended amount in cases under $10,000, but lowball offers are more common in investment cases. In the last five years, 39% of investment cases where OBSI recommended firms pay out $100,000 or more resulted in low settlements.
Between 2021 and 2025, the total recommended compensation in 20 investment cases was $1.8 million, but firms only paid out $1 million, or 56% of the recommended amount.
The Canadian Securities Administrators held a second consultation last year on making OBSI decisions binding. If first proposed binding authority for the complaints body in 2023.