View more on these topics

FCA tells firms to review 2.5 million PPI complaints for unfair treatment

The FCA has asked firms to review 2.5 million payment protection insurance complaints which may have been rejected unfairly or where consumers may have been paid too little in redress.

Since the regulator started tracking PPI payments in January 2011, £16bn has been paid in compensation. The FCA says firms have improved the way they deal with complaints but it has asked banks, credit card providers and personal loan firms to go back over 2.5 million old complaints from 2012 and 2013 where consumers may not have been treated fairly.

Although 13 million PPI complaints have been brought since 2007, firms are now writing to a further five million customers who are at high risk of having been missold PPI but have not yet complained.

FCA chief executive Martin Wheatley says: “Making sure anybody previously missold PPI is treated fairly now, and paid redress where it is due, is an important step in rebuilding trust in financial institutions. In around 2.5 million complaints, this was not necessarily the case so, at our request, firms will be looking at these complaints again.”

The Financial Ombudsman Service has received more than one million complaints from people unhappy with the response from their provider, representing about a quarter of all rejected complaints.

Where complaints have been taken to the FOS, seven out of 10 decisions were upheld.

Recommended

Mark-Robinson

60 Seconds With… Mark Robinson, chief executive, Market Harborough Building Society

Market Harborough was recently voted lender of the quarter in Mortgage Strategy’s new quarterly feature that rates the propositions of lenders. What do you think you do differently to others to earn that title? We approach cases looking to find solutions. This means quickly getting to what applicants are trying to achieve and that only […]

Bob-Hunt-700.jpg

Analysis: Owning a home is not out of reach

There appears to be a surfeit of “analysis”, “data” and “research” at the moment all focused on ‘outlooks for the future’. All the press activity is focused on buyer/seller confidence, house price and interest rate anticipation, or giving mortgage availability. The summer can be the silly season but it does appear that in a market […]

andy golding

OneSavings reports mortgage lending rise of 26%

OneSavings Bank increased its mortgage lending by 26 per cent year-on-year in the first half of the year. Publishing its half-year results last week, the lender revealed it had advanced £130m in new residential mortgages in the first half of the year, up from £103m in the same period a year before. It says lending has […]

Simon-Crone-700.jpg

Analysis: Managing risk for a high LTV future

We are now almost a year on from the moment David Cameron announced he would bring forward the launch of the second part of Help to Buy. Since then, buoyed by the Government guarantee, low-deposit lending has improved considerably, not just from those participating in Help to Buy but by those lenders offering high LTV […]

Newsletter

News and expert analysis straight to your inbox

Sign up