The FSA has confirmed it is holding talks with banks over introducing a deadline for consumers to bring complaints about payment protection insurance misselling.
The Financial Times reported this morning the regulator has been discussing a time limit for consumers to bring PPI complaints with the British Bankers’ Association, with the BBA pushing for a deadline of May 2014.
In a statement today, the FSA says introducing the deadline would be contingent on banks funding a widespread ad campaign to ensure consumers are aware about the PPI issue and how to complain.
The FSA says: “Our key priority is to ensure consumers are protected, so the FSA board would need to be convinced that any proposals would be in the interests of consumers.
“We have had initial discussions and are prepared to consider the merits of this and other options. A key consideration will be the potential to get compensation to more consumers, more quickly.”
The FSA says it will continue to hold talks with the BBA, and will also consult consumer groups and other industry stakeholders. It says changes to FSA or Financial Conduct Authority rules will not be made without full consultation.