PPI mis-sold because of bankers bonuses

 

 

The financial services regulator, the Financial Services Authority (FSA), is due to publish a report on the way PPI has been mis-sold to customers because of the incentives and commission paid to staff.  Staff at banks and other financial companies have been paid large amounts of commission for the insurance products they sell and in many cases even if the customer, didn’t want it, didn’t it or couldn’t claim on it.

 

The report states that the way in which banks and insurance company staff were incentivised to sell products was not in the public’s best interest and should stop.  Banks and insurance companies have made huge profits from the mis-selling of insurance products such as PPI because they are usually of low value but offer high margins to the seller.  One scheme involved staff being forced to ensure that 80% of all loans that were being sold had to have PPI attached!  No insurance product should be sold in this way, all insurance products should be sold because the client has a need or a want for them, not because the sales person needs to hit his or her target.

 

Anyone who has been sold PPI should be urgently reviewing their needs for this type of cover and should be questioning whether they were potentially mis-sold this expensive product.   You can of course make these enquiries yourself and ultimately take the matter onto the Financial Ombudsman Service, but would you trust a company that has mis-sold you a product in the first place to put things right for you?  If the answer is ‘no’ then you should be using the services of Claim 2 Gain who will deal with the claim on your behalf.  We don’t charge any upfront fees and only charge a fee, of 25%, plus VAT, if your case is successful.

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