FSA warn banks again over PPI complaints delay
11 February 2011
The Financial Services Authority has warned banks not to use their Judicial Review challenge as an excuse to delay processing PPI complaints.
Since the BBA began judicial review proceedings in October last year, the FSA believes that some banks have placed on hold ‘nearly all’ of their PPI complaints, with the review given as the reason for the delay.
Failure to progress complaints, the regulator warned, could represent a breach of responsibilities under the complaints handling rules.
A spokesperson for the FSA has explained that ‘Only a small number of complaints will be tied up because of the judicial review. The vast majority can still be dealt with and failure to do so could lead to enforcement action.’
