PPI

Consumers have been alerted over a claims management company using the initials of the Financial Services Compensation Scheme (FSCS) in its advertising.

The increased workload from the mis-selling of Payment Protection Insurance (PPI) has left the Financial Ombudsman Service (FOS) with "a significant challenge", the body has admitted.

Consumer watchdog Which? has today called on the Justice Secretary Ken Clarke to investigate creating tougher regulation around the activities of claims management companies (CMCs).

FIVE THINGS

The regulator has set out the circumstances under which the new Financial Conduct Authority (FCA) will exercise its temporary product intervention powers.

SPURIOUS

Lloyds Banking Group has set aside an extra £375m to cater for an influx of compensation claims related to the mis-selling of payment protection insurance (PPI).

Barclays has seen its payment protection insurance (PPI) exposure rise by £300m in an indication other banks may also face higher bills for the mis-selling of the insurance.

Banks and consumer groups are to meet on Monday with a view to "restoring trust" in the process of making payment protection insurance (PPI) claims direct to the provider.

Consumer group Which? has listed absolute return funds and task-based income protection cover among a list of 'financial products to avoid'.