Barclays and Lloyds in PPI TurmoilThursday, October 4, 2018
Lloyds and Barclays are two of the banks who have been rapped by the Competition and Markets Authority (CMA) watchdog for failing to send out reminders or correct information on thousands of customers with Payment Protection Insurance (PPI) policies between 2012-2018.
Not the first time Lloyds has failed PPI customers
Lloyds was issued with legal directions by the CMA over failures to send an annual PPI review to 14,000 customers. This breach occurred between 2012 and 2018. It also sent out incorrect information to 2,884 customers.
Furthermore, Barclays failed to give the right information to thousands of their customers who inquired about having PPI since 2012.
Barclays Chairman John McFarlane caused distress when he claimed that a large proportion of those claiming PPI do so fraudulently. Barclays chairman also accused the government of allowing the fraudulent PPI claims to go unobstructed.
Gillian Guy, chief executive of Citizens Advice, commented: “PPI is one of the largest banking scandals in this country’s history. It was regularly mis-sold, it was expensive and it was often a poorly designed product that people neither wanted or needed. It is right that people are able to claim compensation. The banks dragged their feet when problems with PPI were first raised and they are paying the price for that inaction.”
In theory, PPI was a good additional service. It covered people who found themselves in a situation where they couldn’t pay their mortgage, loan or credit card. However, on many occasions it was sold without the consumer’s permission, even to people who were not eligible.
We’re here to help
It is estimated that around 64 million PPI policies were sold going back as far as the 1970s. If you want to find out if you have any PPI on your mortgage, personal loan, car finance or credit card, then click here and complete the PPI claims form. If you need advice with your claim, call us on 0800 542 6866.