“The mis-selling of Payment Protection Insurance (PPI) is one of the biggest consumer rip-offs ever seen in the UK “ says Simon Burgess from independent provider British Insurance.
His criticism of the High Street banks and building societies, who in Mr Burgess’s opinion are the main perpetrators of consumer abuse, comes amidst news that the FSA has recently fined GE Capital Bank £610,000 for failing to treat customers fairly and is planning to fine 10 lenders a collective £10m for mis-selling Payment Protection Insurance.
Simon says: “These firms do not have proper systems and controls in place, they do not provide consumers with the right information, they charge exorbitant premiums and staff are inadequately trained. I am delighted that the FSA is taking action against these bullies who delight in profiteering from their customers.”
Payment protection providers recently came under criticism on the Tonight With Trevor McDonald programme when money saving expert and presenter, Martin Lewis, found that borrowers were paying over the odds for cover which is often inappropriate for their needs.
Simon concludes: “Consumers who put their PPI policies under closer scrutiny might find they have indeed fallen victim to mis-selling, are paying over the odds for their cover or have not been made aware of certain medical or employment exclusions.”
Payment protection insurance: News update: February 2007