Vulnerability can have significant impacts on customers in various ways, often exacerbating their challenges and increasing their susceptibility to financial harm. Factors such as health issues, life events, resilience, capability, recognised as vulnerability drivers by the FCA, can contribute to individuals becoming vulnerable:
- Health issues: Customers dealing with health issues such as disabilities, mental health conditions, or chronic illnesses may face challenges in managing their accounts.
- Life events: Life events such as bereavement, unemployment, or divorce can create financial instability and vulnerability for individuals and their families.
- Resilience: Individuals with low ability to withstand financial or emotional shocks may be more susceptible to making unsound decisions or falling victim to financial scams.
- Capability: Individuals with low knowledge of financial matters or low confidence in managing their finances and low capability in other relevant areas such as literacy, or digital skills may struggle to navigate IBKR’s platforms.
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