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Financial Markets Conduct Act 2013

Fair dealing - Offers in course of unsolicited meetings

35: Right to withdraw

You could also call this:

"Get your money back if someone sells you a financial product unfairly"

Illustration for Financial Markets Conduct Act 2013

If someone sells you financial products in a way that breaks the rules in section 34, you have the right to withdraw from the deal. You can get your money back if it's not a derivative, or you can withdraw from the derivative if that's what you bought.

You can exercise this right by telling the seller you want to withdraw within one month of buying the product.

You can tell the seller in any way you like, such as in writing or by talking to them, as long as it's clear you want to withdraw from the deal.

This right to withdraw does not change any other consequences the seller might face for breaking the rules in section 34, and it also works alongside the rules in sections 36 and 37.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM4702180.

Topics:
Money and consumer rights > Consumer protectionMoney and consumer rights > Banking and loansBusiness > Fair trading
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34: Prohibition of offers in course of unsolicited meetings with persons acting otherwise than in trade, or

"No one can try to sell you financial products during an unexpected meeting if you're not in business."

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36: Offeror obligations if notice of withdrawal given, or

"What happens if you change your mind about buying a financial product and want your money back?"

Part 2Fair dealing
Offers in course of unsolicited meetings

35Right to withdraw

  1. If financial products are issued or transferred to a person (A) as a result of an offer that contravenes section 34, A has the right to—

  2. withdraw from holding the financial products and to have the relevant money repaid (in any case other than a derivative); or
    1. in the case of a derivative, withdraw from the derivative.

      1. The right referred to in subsection (1) is exercisable by A giving to the offeror notice of the exercise of the right within 1 month after the date of the issue or transfer.

      2. Notice under this section may be expressed in any way (including oral or written) that shows the intention of A to withdraw from holding the financial product or from the derivative.

      3. This section and sections 36 and 37 do not limit any other liability that a person may have for a contravention of section 34.