Author Topic: Millions To Share £1.3bn Bank Compensation  (Read 4581 times)

pipthom

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Millions To Share £1.3bn Bank Compensation
« on: August 23, 2013, 01:08:28 PM »
Regulators have confirmed a compensation fund of £1.3bn for up to seven million victims of another insurance mis-selling scandal.

The announcement, which was made 12 hours after Sky News was handed details of the Financial Conduct Authority's agreement with banks, outlined how Card Protection Plan Limited (CPP) and 13 high street banks and credit card issuers would pay.

The FCA said the mis-selling centred on CPP's Card Protection and Identity Protection policies between 2005 and 2011 - with many people not even needing the cover.

York-based CPP - which has already been fined £10.5m for its behaviour - was brought to the brink of bankruptcy by the case but secured a new £36m financing deal with its lenders last month to assure its future.

The FCA said today: "Customers were given misleading and unclear information about the policies so that they bought cover that either was not needed, or to cover risks that had been greatly exaggerated.

andyreynolds

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Millions To Share £1.3bn Bank Compensation
« Reply #1 on: August 23, 2013, 04:36:40 PM »
For me the problem is that the financial institutions knew all the time what they were doing. really bad.. >:(