The Financial Services Authority has fined Capital Mortgage Connections £17,500 for cold calling potential customers and other rule breaches.
An FSA investigation in November 2005 found 85% of CMC's business was generated by cold calling potential customers, a practice which breaches the regulator’s rules. In addition, over 97% of accident, sickness and unemployment (ASU) insurance polices sold by the firm were on a single premium basis. The FSA says CMC failed to treat its customers fairly by being unable to demonstrate it gave appropriate pricing information on the ASU insurance polices it sold or advised customers of the potentially cheaper monthly option. It has instructed CMC to carry out a past business review of all ...
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