Commercial barristers point out that the Financial Conduct Authority’s PPI claims process provide refunds that are four times less than the original payment value. St John Building’s assessors believe UK consumers are underhanded by £14 billion due to the oversight.
According to Barrister Elis Gomer, consumers who question the FCA’s loyalty have every right to do so because of these turn of events.
The Barristers point to a recent landmark PPI case: Plevin. Susan Plevn found her financial adviser failed to disclose that he or she will receive more than 50 per cent of the insurance’s price as commission. The FCA incorporated the clause in a PPI claims guidelines amendment. However, barristers said the guidelines only allow consumers to receive 20-30 per cent of the undisclosed commission’s total.
Gomer added that closed-door hearings saw the settlement of higher refunds for customers who challenged the FCA and bank industry’s low-payout guidelines.
Mis-sold PPI is the UK’s biggest and longest-running financial scandal. It includes virtually every UK bank including the Big Four and millions of UK consumers.
It has reached over £40 billion in consumer refunds with £30 billion returned to consumers. The FCA has stipulated 29 August 2019 as the final day for claiming mis-sold PPI refunds.