FCA sets June 2019 deadline for PPI mis-selling claims
Consumers have until the end of June 2019 to make a claim for mis-sold loan insurance (PPI) say the Financial Conduct Authority (FCA).
Banks have paid 24 billion pounds in compensation to customers over the past five years for mis-selling payment protection insurance (PPI), making it Britain’s costliest scandal in financial services.
The FCA had previously indicated that the deadline would be sometime in 2018. Analysts predict the longer period could mean more payouts for banks, with Lloyds being the worst affected.
Regulators have had rules for PPI claims in place since 2010 and normally a deadline of three years is set, but surveys showed many people unaware they had bought the product.
“Putting a deadline on PPI complaints will bring the issue to an orderly conclusion in a way that protects both consumers and market integrity,” FCA Chief Executive Andrew Bailey said.