Payment protection insurance claims management company
Precision Claims has come out in support of consumer group Which? after it
called for banks to withdraw bonuses of executives of banks that have mis-sold
the product.
Numerous high-street lenders were found to have dishonestly
sold PPI to customers taking out loans, credit cards or mortgages, often adding
them to the lease agreement without the customer's knowledge or approval, even
if they were ineligible for the product in the first place.
As a result, the institutions have been forced to set aside
as much as £6 billion between them as compensation for consumers.
Which? has written to the remuneration committees of banks
caught up in the scandal, to say "they would be breaching the City
regulator's pay code unless they go one step further and force related bonus
arrangements to be cancelled".
Richard Lloyd of Which ? says, "This is one of the
clearest examples of unfair treatment of customers and reward for failure on an
industrial scale. There has been a lot of rhetoric from the government and
banks about linking performance to pay. This will be the test to see what that
rhetoric means in practice."
Simon Thompson of Precision Claims comments, "We have seen just how
big an effect it can have on consumers who have essentially been tricked into
parting with large sums of money. We agree that those who played any part in
mis-selling PPI should have their bonuses reclaimed."
Income protection insurance news: 27 February 2012
