Tighter rules on packages accounts come into force

The Financial Services Authority (FSA) announced plans to better oversee packaged bank accounts after an investigation revealed flaws in the sale and operation of the product. Its proposed rules were announced in July last year and came into force yesterday. The BBC reports that one in five UK adults has a packaged account, which include extras such as travel insurance and motor breakdown cover. The rules now mean banks have to check that customers are actually covered by the policies sold as part of their account. They are now obliged to alert customers who are not covered and provide...