Belmont Thornton Logo

Barclays PPI Complaints

294,891 complaints were received by The Financial Service Authority (FSA) regarding Banking services provided by Barclays in the second half of 2010 many regarding the sale of payment protection insurance. The figure is high and led to Barclays being given the unenviable title of the Country’s most complained about financial institutions. The lender will hoping to cast off the title in the coming months; however, after announcing a number of changes to the way Barclays PPI complaints will be handled.

In April 2011 The High Court handed down its judgement regarding a set of new FSA guidelines. Many lenders were unhappy with the new rules, when they were announced and, as a result, The British Banking Association requested the review. The crux of their argument was that the FSA was trying to force lenders to evaluate old sales by new standards. The FSA argued the guidelines merely clarified existing rules and would protect the consumer from a repeat of the payment protection mis-selling scandal. Whilst the decision was pending, Barclays PPI complaints were placed on hold. The court ultimately found in favour of the FSA and, moving forward, lenders will now be required to fully explain terms and conditions to the borrower and empathise the policy is option.

The court’s decision has forced many lenders, including Barclays, into swift action. Most major banks chose to go against FSA regulations whilst the judgement was pending and placed all claims on hold. In the face of defeat, most lenders hurriedly made announcements that they would be allocating funds to deal with the PPI crisis. Lloyds allocated £3.2 billion while Barclays PPI complaints received a pledge of £1 billion from the lender. The move by four of the country’s biggest banks to allocate funds was seen as a milestone for many campaigns as it appears banks are now willing to resolve more complaints internally and pay compensation to those affected, but Barclays have chosen to take this process a step further.

In June 2011 it was announced that all Barclays PPI complaints made prior to 20th April 2011 would be settled on a ‘no-quibble’ basis as ‘a gesture of goodwill.’ The lender announced it had made the decision as it felt customers caught up in the judicial review, whose claims had been placed on hold, had waited long enough. If you made a claim prior to this date, therefore, you should now be in line for a full refund with 8% interest.

As for Barclays PPI complaints made after the April deadline these will be treated, as before, and will be evaluated on a case by case basis. It is expected there will be a sharp rise in payment protection claims, though, due to increased press coverage and heightened public awareness. In response to the claim backlogs and the expectations of increased claims The FSA has announced it will temporarily be allowing lenders up to 16 weeks to process some claims. This is double the 8 weeks usually allowed and shows a willingness by the FSA to support banks in their renewed effort to address the PPI issue.

If you believe you have been mis sold PPI you can start your claim today simply by calling 0207 471 2000.


Tell a Friend
blog comments powered by Disqus

Enquiry Form

First Name 
Last Name 
Mobile Phone
Home Phone
Address Line 1 
Town
County
Post Code 
Email 
Circumstances
Claim Back Mis-Sold PPI Button

Belmont Thornton Limited is regulated by the Claims Management Regulator in respect of regulated claims management activities; our registration is recorded on the website www.gov.uk/moj/cmr number 18273

Belmont Thornton Limited is incorporated in England and Wales, Company number 6621233, whose head office at Unit B16, Kestrel Court, Harbour Road, Portishead, Bristol, BS20 7AN and registered office at Harwood House, 43 Harwood Road, London, SW6 4QP.

Belmont Thornton Limited is registered with the Information Commissioners Office. Registration number Z1728023.

Please note that calls may be monitored for the purposes of staff training.

* Belmont Thornton operates on a "No Win No Fee" basis. This means that there are no upfront costs to pay. Our fee only becomes payable on a successful outcome of a claim. A cancellation fee is payable if you decide that having instructed Belmont Thornton to act on your behalf, and after 14 days of signing your Letter of Authority, you do not wish to continue pursuing your claim with us. The cancellation fee is the reasonable costs incurred for the work undertaken. Please see our terms of engagement.

By using our web-site, you agree that we can place the types of cookies described in our privacy policy on your device.Hide