View more on these topics

McFall falls victim to PPI “harassment” by bank

Treasury select committee chairman John McFall has revealed that he has had personal experience of pressurised payment protection insurance sales.

Speaking at a select committee hearing on Monday, the Labour MP for West Dunbartonshire said he had declined PPI when he took out a personal loan several years ago and told his bank that it was not suitable for him.

McFall said his bank went on to send him eight letters trying to persuade him to change his mind.

He said his bank’s behaviour was “not far from harassment”.

FSA director of retail policy Dan Waters said that kind of behaviour was “not untypical” of its time.

He said there had been improvements in some aspects of PPI sales but not others and the FSA still has concerns.

But he said: “A number of firms have voluntarily agreed to stop selling single premium PPI and I think it is fair to say the handwriting is on the wall.”

Recommended

Regulate or compensate?

Misselling scandals have plagued the industry across product areas over the years but the Financial Ombudsman Service now says a surge in single issue complaints may see it act as a surrogate regulator.

Insurers look for wrap MBO

Axa and Standard Life are believed to be backing a management buyout of FNZ, the technology provider behind both insurers’ wraps.

Libor spread still too high for lenders

Three-month Libor has dropped to 3.13 per cent, a fall of 75 basis points since the start of the month. Mortgage lenders welcome the drop but say the 1.13 per cent spread is still too much to improve rates drastically.

The Investment Clock: Keep calm and Macron!

Trevor Greetham, Head of Multi Asset In a marked contrast to the surge in risk sentiment that followed President Trump’s election in November, markets greeted Emmanuel Macron’s victory in the French presidential election with satisfaction and relief, rather than euphoria. After rallying strongly on opinion polls that accurately predicted the outcome, the euro held onto […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment