One step closer to better PPI refund guidanceFSA ends PPI communications consultation

03 April 2012

Letter coming through letterbox

PPI letters must be clear about your rights to submit a mis-selling claim and the timeframe for lodging a PPI complaint

The Financial Services Authority (FSA) will move to its next phase of tackling the payment protection insurance (PPI) scandal as it ends its consultation period on how banks and other PPI providers should contact the millions of consumers that were mis-sold the product. 

In March 2012, the FSA gave firms four weeks to respond to its proposed guidance on sending an estimated four to 12 million letters about refunds to people that were mis-sold PPI. 

Misleading information from banks on PPI

When the FSA launched its consultation, Which? reiterated its concerns about the way banks have communicated customers that had been sold PPI in the past. Our Money Helpline has been inundated with calls from people who have been sent confusing and unclear letters about their PPI policies. 

Which? and other consumer groups have been at the heart of the proposed guidance, and we have worked with the British Bankers' Association and other industry bodies to reach agreement about how to improve communications.

Banks pledge to improve PPI communications

When the consultation launched at the beginning of March, the BBA and the Association of Finance Brokers (AFB) made a pledge to ensure that any communications relating to PPI:

  • set out a clear summary at the start of the communication
  • use straightforward language and an accessible tone
  • are written in concise sentences and paragraphs
  • set out clearly the terms to which they refer and explain any abbreviations
  • avoid the use of jargon and limit the use of overly complex technical or legal language

Reclaim your mis-sold PPI

Which? has long campaigned for redress on mis-sold PPI on credit products. If you think that you've been mis-sold PPI, you can use the free Which? online PPI claim tool to help you submit your claim. More than 14,000 of you have sent complaints via the tool since it was launched.

More on this...

  • Use our free online PPI claim tool - Which? helps you submit a PPI claim
  • The Which? PPI campaign - read about our longstanding PPI campaign
  • Phone the Which? Money Helpline - give us a call with your PPI complaint queries