The Ministry of Justice (MoJ) will be given the power to fine claims firms which use information gathered by unsolicited calls and texts or who provide poor quality services.
Claims management firms have flourished following the payment protection insurance (PPI) mis-selling scandal. Calls are often automated and are made to people who never bought the product, but who are told they can make a claim. The MoJ fines against claims firms will be brought in as part of changes being made through the Financial Services Banking Reform Bill and are expected to take effect next year when details on the maximum fine levels will be published. In addition, the MoJ said its Claims Management Regulation (CMR) unit will be expanded with more enforcement staff. This will ...
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