ComplaintsforEmbark

• Initial Complaint

  19/04/2024

  Complaint Type:

  Order Issues

  Status:

  Unresolved

  More info

  Dear Better Business Bureau, I am reaching out to express concerns about recent modifications to the FlexFirst RESP plan managed by Embark, of which I am a policyholder. In December 2023, significant changes were made, including reducing management expense ratios and removing the "Return of Enrolment Fee" feature following a subscriber vote. Despite examining official communications on both Embark’s website (*******************************************************************) and regulatory filings on SEDAR Plus under Embark Student Corp., detailed information about the vote—such as the number of votes for, against, and abstentions—remains undisclosed. The prospectus indicates that a quorum of merely three individuals is sufficient for decisions, which is problematic given the large number of policyholders (68,433 as of October 2023). Additionally, there is a discrepancy in communication practices. Customer service representatives claimed that emails were sent to planholders about the vote, yet neither my wife nor I received any such communications prior to the changes taking effect on December 31, 2023. Given these issues, I request the BBB’s assistance in: -Securing official documentation from Embark detailing the voting turnout and results. -Investigating the adequacy of the notification process used for these significant plan changes. Should the documents and your investigation reveal a lack of transparency or inadequate representation in the voting process, I advocate for a reconsideration of these plan changes, with a new vote conducted under more transparent and inclusive conditions. Thank you for your attention to these matters. I look forward to your support in advocating for fair and transparent practices in financial services. Best Regards

  Business response

  24/04/2024

  Thank you for expressing your concerns.  We’re sorry to hear of your less-than-satisfactory experience with Embark Student Corp and hope you will accept our sincerest apologies. We value our customers' opinions and would like to thank you for bringing this to our attention. 
  
  We have sent an email to the customer advising that a final response will be provided by May 3rd.   
  
  If you prefer, you can also contact our Customer Care team at ********@******.ca  

  Customer response

  24/04/2024

  
  Complaint: ********
  
  Dear Better Business Bureau Team,

  
  Thank you for your prompt response and for forwarding my concerns to Embark Student Corp. I appreciate your efforts to address the issue and your assurance of providing a final response by May 3rd.
  I will await the detailed response from Embark Student Corp by the specified date. Should I need further assistance or if the issue remains unresolved, I will get in touch.
  Thank you once again for your attention to this matter.
  
  Sincerely,
  
  **** ****** ********

  Business response

  26/04/2024

  Thank you for expressing your concerns.  We’re sorry to hear of your less-than-satisfactory experience with Embark Student Corp (formerly Knowledge First Financial). We value our customers' opinions and would like to thank you for bringing this to our attention. 
  
  We will be reaching out to you directly and you should get an email from us on May 3 2024.  

  Customer response

  02/05/2024

  
  Complaint: ********

  Good afternoon,

  Thank you for your prompt response and for indicating a commitment to address my concerns by May 3rd. I appreciate your attention to the timeline.

  I would like to kindly request that all communications regarding this issue be conducted exclusively through the Better Business Bureau website. This approach not only ensures transparency but also maintains a clear and accessible record of our interactions, which is crucial.
  

  Please ensure that your response is posted here on the BBB platform by the agreed deadline of May 3rd. If the response is provided via email instead of being posted here, I will consider the issue as unresolved and the question unanswered. Your cooperation in adhering to this communication method and timeline will be greatly appreciated.

  Thank you for your understanding and I look forward to your reply on this platform by May 3rd.

  Best regards,
  
  **** ****** ********

  Business response

  03/05/2024

  Thank you for expressing your concerns, at Embark Student Corp, we strive to provide professional and efficient service to all our customers and take all complaints very seriously.   
  
  We have sent you an email answering your inquiry and providing the next steps to take in your complaint.  Thank you

  Customer response

  06/05/2024

  Complaint: ********
  

  Dear Embark and BBB,
  

  Thank you for your recent response. I must note, however, that despite my specific request, this response was not communicated through the BBB platform, impacting the transparency and integrity of our communication process, which is crucial for public trust and record-keeping.

  
  Additionally, I wish to highlight that three weeks ago, I specifically asked for a detailed breakdown of the votes for, against, and abstained regarding the changes to the FlexFirst RESP plan. This question remains unanswered to this day, which is concerning. Providing this information is essential for verifying the legitimacy and transparency of the voting process, significantly impacting all policyholders.

  
  Given the lack of response to my earlier inquiries, I respectfully insist that Embark provide this voting breakdown here on the BBB platform to ensure all proceedings are transparent and accessible. Addressing this fundamental aspect of our inquiry comprehensively is crucial to move towards a satisfactory resolution.

  
  I remain committed to resolving this matter constructively and look forward to a response that includes the requested voting breakdown, posted directly on this platform, as originally agreed. I have attached a copy of my message from three weeks ago where I raised this same issue, to remind us of the ongoing nature of this concern.

  
  Thank you for your attention to this matter.

  
  Sincerely,

  **** ****** ********

  Business response

  10/05/2024

  Thank you for expressing your concerns, at Embark Student Corp,  we strive to provide professional and efficient service to all our customers and take all complaints very seriously.   
  
  We have advised the customer that personal response to complaints from the company are directly sent to the customer and not to this platform.  Thank you. 

  Customer response

  13/05/2024

  
  Complaint: ********
  
  Good afternoon,

  Thank you for your recent communications. It appears from your responses that company policies prevent Embark from publishing responses directly on the BBB website. If this understanding is correct, I propose the following approach to ensure progress while maintaining transparency:

  1) I will respond on the BBB website and assess if Embark's response meets the satisfactory criteria.
  2) Concurrently, Embark can continue to provide detailed responses to my queries via email.
  
  This dual approach will ensure that while adhering to your internal policies, the process remains transparent and documented on the BBB platform.
  
  In line with this, could you please provide the detailed voting numbers I initially requested by email? Transparency in the voting process is crucial, especially since the outcomes significantly affect the stakeholders. On your website and previous communications, you have disclosed percentages for votes in favor of changes by Flex First and Family Single Student subscribers. Given this precedent, disclosing the complete voting turnout and results should align with your practices for transparency.
  
  The detailed voting information is essential not only for verifying the legitimacy of the voting process but also for understanding how decisions that removed valuable policy features were made. As a stakeholder directly affected by these changes, I believe it is my right to access this information.
  
  I look forward to your forthcoming response and hope for a transparent disclosure of the information requested.
  
  Best regards,
  
  **** ****** ********
  

  Business response

  14/05/2024

  Thank you for expressing your concerns, at Embark Student Corp, we strive to provide professional and efficient service to all our customers and take all complaints very seriously.   
  
  We have sent you an email responding to your inquiry. 

  Customer response

  24/05/2024

  
  Complaint: ********
  
  Dear Better Business Bureau,
  
  As this complaint process concludes, it is disheartening to reflect on how Embark has managed legitimate concerns regarding their voting procedures for changes affecting the FlexFirst RESP plan. Despite repeated and clear communications, Embark has failed to provide answers to critical questions, leaving significant doubts about their transparency and governance.
  
  Concluding Remarks Based on Assumptions:
  
  I assume that Embark will not answer my original question, either within the BBB channel or by email — specifically, the number of votes for, against, and abstentions in the subscriber vote. This omission will result in this complaint being tagged as “unresolved” on the BBB website.
  I also assume that these details are not published on SEDAR+. Should any of these assumptions be incorrect, I strongly urge an Embark representative to provide specific details and documents through the BBB platform, ensuring transparency and allowing for appropriate modifications to this complaint.

  Lack of Response:
  More than a month has elapsed since I requested explicit details about the voting process, as highlighted in my initial query dated April 15, 2024 (Refer to “1 - Email to Embark - 2024-04-15 - no PII”). A legitimate and transparent process would typically allow Embark to provide this information within a standard timeframe. Their failure to do so suggests a lack of organizational efficiency or, more concerning, an intentional withholding of information. Unfortunately, Embark has also failed to provide any justification for not disclosing this crucial information.
  
  Questionable Voting Process:
  Embark claims that their voting process is legitimate (Refer to “2 - Email Communication with Embark during BBB process - no PII”). However, their reluctance to disclose essential voting data, combined with a quorum requirement of only three individuals for decision-making (Refer to document “3 – CircularFlexFirstPlanEnglish”), starkly contradicts this assertion. It is alarming that significant policy changes, affecting tens of thousands of subscribers, could be influenced by such a minimal number of participants. This raises serious concerns about the potential for future changes that may not align with policyholders' interests.
  
  Communication and Transparency Concerns:
  From the beginning, I have sought a transparent dialogue through the BBB platform, ensuring that our communications were documented and publicly accessible to reinforce consumer trust. Regrettably, Embark has opted not to engage through this public channel, choosing instead to limit their responses to direct communications. This approach contradicts their public assurance that they "take all complaints very seriously." Furthermore, despite my willingness to accept direct email responses, Embark has remained inflexible and has not provided any explanation for their refusal to communicate directly on the BBB website.
  
  Conclusion:
  Embark's approach to this complaint has been characterized by evasion and non-cooperation, undermining their stated commitment to professionalism and showing a profound disregard for stakeholder rights. Their response—or lack thereof—suggests that Embark's assurances of taking complaints seriously are superficial at best.
  
  As we proceed to list this complaint as “unresolved” on the BBB website, it becomes evident that Embark's practices concerning transparency and stakeholder engagement require substantial improvement. Unfortunately, subscribers must now consider the potential future implications of Embark's governance on their investments and their children's education.
  
  Thank you, Better Business Bureau, for your oversight and efforts to mediate this matter. Although a satisfactory resolution was not achieved, I appreciate your role in promoting greater accountability and transparency, which are essential for protecting consumer interests.
  
  *********** ******** *** ********** ********** *** ******** ******
  
  ** * ***** ** ****** * ********** * ** **** ******** *** ******* ******* *** ****** ******** ** * ***** ************* **** ****** ****** *** ******* * ** **** ******** ***** ********* ****** *** *** ******** *********** ****** ** * ********** ****** ******** ** * ***************************** ******* *** ****** ************ *** *** ****** ** ******** ******* ******* *** ************* *** ****** ********* **********
  

  Sincerely,
  
  **** ****** ********

*Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business. ↩