Three Reasons The FCA Thinks It’s Time To End Mis-Sold PPI Claims
Despite Moneysavingexpert.com founder Martin Lewis and Which? CEO Richard Lloyds’ call for the Financial Conduct Authority to avoid considering a deadline proposal for mis-sold PPI claims, the regulator may consider giving in to BBA’s pressure. Clearly, this is unfair. However, why would the regulator even consider it?
There are three probable speculations behind this.
Rogue PPI Claims Management Company Cold Calls
While HaveIGotPPI.org.uk is a PPI claims company, we do not encourage cold-calling and we observe telemarketing ethics. For the rest of the competition, plenty are using cold calling to urge consumers to reclaim PPI refunds. Cold calls and unsolicited text messages end up amassing in consumer’s devices, and also becoming a daily nuisance. The FCA might be intending to stop this nuisance from reaching consumers ever again.
The UK Economy
In 2013, the British Bankers Association (BBA) and Confederation of British Industries (CBI) had jointly called for a PPI claim deadline because “real economies” are unable to loan for investment applications, paralysing the industry’s growth. It is possible the FCA intends to end PPI claiming to give the UK’s battered economy an additional boost.
Minimising The UK Banking Industry’s Huge Troubles
While unfair, the heart of a country is its banking industry. If the banking industry suffers immensely from recompensing consumers or losing profit yearly, so does the economy. Rogue CMCs can take huge chunks of cash from successful PPI claims of consumers, which adds to bank administrative costs aside from the billions lost in PPI refunds.