The number of offers of redress from banks to customers who took out interest rate hedging products is set to increase "rapidly" over the coming months, the Financial Conduct Authority (FCA) has said.
In 2012 the regulator identified failings in the way some banks sold interest rate hedging products. The banks agreed to review their sales of the products to certain customers going back to 2001. The FCA's September figures for the progress of the review show that 2,400 ‘sophistication' assessments were completed, 1,000 customers were invited to join the review and 2,500 customers opted to join the review. In addition 600 compliance assessments were completed, 400 redress determinations were completed, 200 offer letters were sent and 22 offers were accepted, with a total value of £1....
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