The Financial and Consumer Services Commission (the Commission) is encouraging New Brunswick consumers to ask for proof of licence before agreeing to purchase anything from a door-to-door (direct) seller.
The reminder comes following reports of multiple direct sellers operating in the province without a licence. Direct sellers must be licensed by the Commission and carry their direct seller’s licence with them while conducting business.
The reminder also comes following a bulletin from the Canadian Anti-Fraud Centre, which noticed a recent increase in reports from across Canada related to misleading home services and equipment through social media ads, telemarketing calls and door-to-door sales.
“With the arrival of warmer weather and longer days, we often see an uptick in the activity of direct sellers,” said Marissa Sollows, the Commission’s Director Communications and Public Affairs.
New Brunswickers should always ask to see the direct seller’s licence when a salesperson comes to their home.
“As part of the licensing process, each applicant is required to provide us with a completed criminal record check,” said Sollows. “This adds a layer of protection for consumers by providing a screening process for individuals entering their home.”
While checking for a licence is an important first step when dealing with direct sellers, the Commission wants consumers to understand their rights and remember the following:
- Consumers are urged to ask questions, to not be pressured into making a decision, to do research and to read all contracts when approached to purchase products or services from a door-to-door salesperson.
- Salespeople are required to provide copies of the contract to the consumer.
- The law provides for a 10-day cancellation period for any good or service sold through a direct sale.
“When a deal sounds too good to be true, it very well could be” said Sollows. “Always take time to review the full contract – including the fine print – before parting with your money.”
The Commission’s mandate is to protect consumers and enhance public confidence in the financial and consumer marketplaces through regulation and education. Licensing provides a level of transparency for consumers to feel more confident in their dealings knowing there are professional standards and regulations that their financial professional must adhere to.
Consumers can search the Commission’s direct sellers database to verify a salesperson’s licence. Those who have concerns about a direct seller are encouraged to contact the Commission.
Audio files of Marissa Sollows, the Commission’s Director Communications and Public Affairs
The Financial and Consumer Services Commission of New Brunswick has the mandate to provide regulatory services that protect the public interest while enhancing public confidence, and to promote understanding of the regulated sectors through educational programs. It is responsible for the administration and enforcement of financial and consumers services legislation for mortgage brokers, payday lenders, real estate, securities, insurance, pensions, credit unions, trust and loan companies, cooperatives, the unclaimed property program, and a wide range of other consumer legislation. It is a Crown corporation funded by the regulatory fees and assessments paid by the regulated sectors. Online educational tools and resources are available at www.fcnb.ca.