Banks pay £482m interest swap redress; hundreds of customers yet to opt-in

Carmen Reichman
clock

Banks have paid out a total of £482m in redress to those they have missold interest rate hedging products, figures from the Financial Conduct Authority (FCA) show.

The banks, mainly Barclays, HSBC, Lloyds and the Royal Bank of Scotland (RBS), have already completed all of their initial claim assessments and have asked 18,800 customers to join the review. Around 1,900 customers have yet to opt-in. The regulator's monthly update said banks were becoming faster at processing the reviews and were on track to achieve their 12-month time limits for completion. So far 3,430 offers have been accepted and no redress was due in 962 cases. The rate of non-compliant sales stood at 96%. It is projected that all redress for consumers who have opted in to t...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

'Danger' for advisers who think poor conduct is not relevant to them

'Danger' for advisers who think poor conduct is not relevant to them

‘You cannot rely on people deciding what to do in the moment’

Hope Coumbe
clock 28 March 2024 • 1 min read
Advisers on 'dangerous ground' if they take tick-box regulation approach

Advisers on 'dangerous ground' if they take tick-box regulation approach

‘They should embrace the spirit in which the regulation has been created’

Isabel Baxter
clock 27 March 2024 • 1 min read
FCA enforcement to become 'assertive, proactive and intrusive'

FCA enforcement to become 'assertive, proactive and intrusive'

‘You can expect the regulator to take robust action where needed’

Isabel Baxter
clock 29 February 2024 • 2 min read