PPI Claim News - 26/7/2012
Lloyds Banking Group adds £700m to PPI claims fund
Lloyds Banking Group has increased the amount of money it has provided for payment protection insurance (PPI) refunds by £700 million over the second quarter of the year.
This resulted in the lender posting a half-year loss of £439 million, it stated in its biannual results.
In the first three months of 2012, Lloyds set aside £375 million to cover PPI refunds, with the total estimated cost of this scandal predicted to have cost the bank £4,275 million.
There number of legacy PPI claims received by the bank increased during 2012, it revealed.
During 2011, Lloyds Banking Group earmarked £3,200 million for contact and redress for people looking to reclaim payment protection, with this including the expenses involved in the administration of these bank refunds.
"Mis-sold payment protection insurance policies are an industry legacy issue, but by redressing those affected quickly, we continue to do the right thing for our customers," Lloyds Banking Group chief executive Antonio Horta-Osorio said.
Jennifer Haines
Jennifer's speciality knowledge is credit card changes and balance transfers.
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