With over £8 billion paid for PPI and bills still rising, taxpayer-part-owned Lloyds continues to perform poorly with reducing its number of PPI complaints for 2015.
The first half of 2014 saw Lloyds Bank was the major provider that turned away majority of its PPI complaints. The independent Financial Ombudsman service saw through the complaints and found about 93 per cent of the complaints Lloyds turned away were valid.
Lloyds has set aside £1 billion almost every quarter of 2015 to recompense consumers mis-sold with payment protection insurance.
Meanwhile, the current bill for mis sold PPI is now at £26 billion. Experts estimate it could reach up to £33 billion should the Financial Conduct Authority integrate a landmark case between Susan Plevin and Paragon Personal Finance with current PPI rules.
Paragon Personal Finance, a company with ties to Lloyds providing payment protection insurance, will repay Plevin her remaining PPI repayments after the Supreme Court’s decision to award refunds to consumers sold PPI without the broker disclosing the commission involved in the sale to the consumer.
Lloyds Bank has 78 per cent overall consumer-favoured decisions from the Financial Ombudsman regarding general financial complaints. The best performer was Nationwide with 22 per cent of complaints upheld by the Financial Ombudsman for most financial product complaints and only 17 per cent upheld for PPI complaints.