The Competition Commission (CC) has provisionally banned the selling of payment protection insurance (PPI) at the point-of-sale, following a legal challenge from Barclays.
A point-of-sale ban on PPI would stop it being bolted-on to the sale of an associated credit product such as a personal loan. Following its investigation into PPI, the Commission found businesses which offer PPI alongside credit face little or no competition when selling the product to their credit customers. Last year, Barclays legally challenged the CC's report into PPI and a proposed point-of-sale ban on the product at the Competition Appeal Tribunal (CAT), supported by Lloyds Banking Group and Shop Direct Group Financial Services Ltd. CAT upheld the CC's findings on competition...
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