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November 7, 2015 
Daniel Lee More than 1,000 complaints a day about mis-sold payment protection insurance (PPI) continue to be sent to the Financial Ombudsman Service despite a steep drop in numbers in the second half of 2013 compared with earlier in the year.
The ombudsman said the most complained-about financial institution in the second half of 2013 was Lloyds TSB, followed by Bank of Scotland, Barclays, MBNA and HSBC, though it said the ranking was not weighted for the number of customers each company has. The total number of complaints fell by 24% to 248,801 from 327,035 in the first half of the year. Only MBNA and HSBC saw an increase in complaints compared to the earlier period.
Original Source (http://www.theguardian.com/money/2014/mar/04/ombudsman-receives-1000-ppi-misselling-complaints)
FOS 1000 complaints
November 7, 2015 Daniel Lee
It is not over – Lloyds Banking group have set aside a further £750 Million to compensate PPI mis-selling in what has been the biggest mis-selling scandal of all time. UK banks have in total set aside over £17 billion pounds to compensate customers who were mis-sold payment protection insurance (PPI). Of the overall provision, Lloyds banking group have taken the majority of the stake holding a massive £8 Billion which includes £1.7billion for administration costs. The group, which is 33 per cent owned by the taxpayer, recorded statutory pre-tax losses of £440 million in the third quarter of the year. This is a huge increase compared with a £151 million loss in the same period last year, however no surprise as Lloyds Banking had become the most complained about financial business in the first half of 2013. Lloyds are now in talks with Britain’s financial regulator about the possibility of restarting dividend payments next year for the first time since 2008 and will set out its dividend policy alongside its 2013 results next February.
Lloyds bill raised
November 7, 2015 Daniel Lee The Co-operative bank has increased its provision by a further £105 million to compensate customers who were mis-sold payment protection insurance (PPI) and various other products. The provision will cover ‘’future costs for PPI redress, arrears charges and the processing of certain mortgage interest ‘first payments”’.
This matter arose as The Co-Operative Group this week lost control of its banking arm after a decision from investors rejected a plan to save the troubled firm. In June 2013, requirements from the Prudential Regulation Authority (PRA) said the bank needed to raise £1.5 billion to plug a capital shortfall.
Co-Op Group Chief Executive Euan Sutherland said on Monday he had reached an agreement in principle to save the bank. The member-owned group will now control 30% of the bank’s equity, less than the 75% proposed in the original rescue plan. Bond holders will now take 70% under plans to renovate the massive hole in their balance sheets.
Turmoil to the Group continued as their long-standing chairman Len Wardle announced today he will stand down in May next year once the bank’s capital restructuring is complete.
Mr Sutherland thanked Mr Wardle for his “leadership and commitment”, since he joined the Co-Op’s board in 1992.
Earlier this year the banking arm of the Co-Operative group reported a pre-tax loss of £709.4m.
co-operative provision
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November 7, 2015 Daniel Lee The latest figures from the Financial Conduct Authority (FCA) show the current cost paid out to customers in relation to mis -selling payment protection insurance has hit £12 BILLION.
(Source – Financial Conduct Authority)
The PPI mis-selling scandal showed no signs of decreasing in the first half of 2013 which drove complaints to a record high. The number of complaints received by the Financial Ombudsman Service went up by 140% in just one year, up to 3000 complaints a day at its peak.
In July 2013, £528 million was paid back to customers who complained about the way they were mis-sold payment protection insurance (PPI). Jumping to August, figures dwindled slightly but banks still paid out a whopping £446m.
The course of the year has surpassed all expectations with banks being fined on a monthly basis which generated a continuous rise to the amount paid back to clients.
“Disappointingly we are still seeing cases where businesses are not following our long-standing approach to PPI, resulting in long waits and unnecessary delays for consumers,” said Natalie Ceeney, the Chief Ombudsman.
The Financial Conduct Authority (FCA) collated its figures from the 24 firms responsible for 96% of mis-sold PPI complaints last year, with the final industry-wide bill expected to exceed the current amount.
PPI bill £12 Billion
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November 7, 2015 Daniel Lee
Clydesdale Bank has become the latest victim accused of cutting its compensation bill for Payment Protection Insurance (PPI) by destroying customer details. The concerns brought forward by HUNDREDS of potential claimants say their claims were dismissed as the bank was unable to provide account records dating back more than seven years.
Clydesdale says it has simply invoked the Data Protection Act, which states files should not be kept longer than necessary.
A recent statement provided by the Financial Conduct Authority said: “Whilst we acknowledge firms have their own data retention policies, this should have no impact on how they address a customer’s complaint that stretches back beyond that point.”
Clydesdale admitted it was “reviewing” its PPI complaints handling policy, including data issues.
This is the second time in a week the bank has faced scrutiny of its practices, early last week being fined £8.9m by the UK regulator for its treatment of customers regarding mortgage payments. What next?
clydesdale ppi complaints
November 7, 2015 Daniel Lee
The Financial Ombudsman Service revealed a record high of 327,035 complaints for the first half of 2013. The latest report shows that 266,228, 86% of all new complaints made were regarding mis-sold PPI (Payment Protection Insurance).
The four big banks account for over £15bn of the total £17.9bn provision set aside for PPI mis-selling
Lloyds Banking group has become the most complained about financial business in the first half of 2013. Figures show they received 129,293 complaints, up 38% in comparison to the previous six months.
Barclays took the number two slot for most complained about business group. The group received 44,223 claims, with 37,394 of those relating to PPI claims.
The vast majority of PPI complainants had their complaints upheld, with 74% PPI cases resolved in favour of the consumer.
The Royal Bank of Scotland group including NatWest tackled a total 22,940 complaints, RBS upholding 34% and NatWest 38% in favour of the consumer.
HSBC increased 11 % in complaints in comparison to the second half of 2012. The FOS received 18,444 complaints in total, 12,224 of which related to PPI.
ppi high
