© Copyright Acquisition International 2024 - All Rights Reserved.

Article Image - Clydesdale Bank Fined £20,678,300
Posted 15th April 2015

Clydesdale Bank Fined £20,678,300

Clydesdale Bank Fined £20,678,300 for Serious Failings in PPI Complaint Handling

Mouse Scroll AnimationScroll to keep reading

Let us help promote your business to a wider following.

Clydesdale Bank Fined £20,678,300
Image

Clydesdale Bank Fined £20,678,300 for Serious Failings in PPI Complaint Handling

In mid-2011 Clydesdale implemented inappropriate policies which meant that its PPI complaint handlers were not taking into account all relevant documents when deciding how to deal with complaints.

In addition, between May 2012 and June 2013, Clydesdale provided false information to the Financial Ombudsman Service in response to requests for evidence of the records Clydesdale held on PPI policies sold to individual customers. A team within Clydesdale’s PPI complaint handling operation altered certain system print outs (in a small number of cases) to make it look as if Clydesdale held no relevant documents and deleted all PPI information from a separate print out listing the products sold to the customer. These practices were not known to or authorised by Clydesdale’s PPI leadership team or more senior management.

Georgina Philippou, acting director of enforcement and market oversight at the FCA said:

“Clydesdale’s failings were unacceptable and fell well below the standard the FCA expects.  The fact that Clydesdale misled the Financial Ombudsman by providing false information about the information it held is particularly serious and this is reflected in the size of the fine.

“We have been very clear about how firms should treat customers who may have been mis-sold PPI.  In ignoring documents it held which were relevant to its customers’ complaints, Clydesdale failed to treat its customers fairly.”

As a result of Clydesdale’s conduct, of the 126,600 PPI complaints decided between May 2011 and July 2013, up to 42,200 may have been rejected unfairly and up to 50,900 upheld complaints may have resulted in inadequate redress for customers.

Clydesdale’s inappropriate policies meant that, for PPI complaints about loans and mortgages which had been repaid more than seven years prior to the date of the complaint, its complaint handlers would not search for any documents on the basis that they fell outside Clydesdale’s seven year document retention period. This was despite the fact that, in a small percentage of cases, relevant documents had not been destroyed and were still readily available. When calculating redress for credit card PPI complaints, handlers ignored those credit card statements that Clydesdale held for the period before the year 2000.

The FCA also found that complaint handlers were failing to identify cases where the PPI policy sold was unsuitable for the customer, and found deficiencies in the training and monitoring of complaint handlers.

Clydesdale will be reviewing all PPI complaints handled prior to August 2014 and offering redress to any customers impacted by these failings. Customers do not need to take any action – Clydesdale will be contacting all affected customers in due course.

Clydesdale agreed to settle at an early stage of the FCA’s investigation and therefore qualified for at 30% stage 1 discount. Were it not for this the FCA would have imposed a financial penalty of £29,540,500.

Categories: Finance, Legal


You Might Also Like
Read Full PostRead - Eye Icon
Ambulant Health Care Services
Innovation
29/02/2016Ambulant Health Care Services

GlobalCare Clinical Trials, Ltd is the leading global provider of ambulant health care services for clinical trials.

Read Full PostRead - Eye Icon
5 Time Management Secrets for Efficient Project Management
News
03/01/20245 Time Management Secrets for Efficient Project Management

Are you a project manager who is aspiring to be the best in the biz? You need to master these secret ways to make your workflows more efficient. Using our tricky time management tools will boost your productivity, and also, help you work both faster, and smart

Read Full PostRead - Eye Icon
How Your Medicines Are Put To The Test
Innovation
16/02/2024How Your Medicines Are Put To The Test

Ever wondered about the incredible journey your medicines undertake before landing in your pharmacy bag? It’s a fascinating process of scientific rigor, safety assurance, and constant innovation that shows the untold stories behind the pills we often tak

Read Full PostRead - Eye Icon
Aeromark and Wolseley UK Announce Successful Integration for Aeromark’s new Smarter Parts Solution
Innovation
18/07/2016Aeromark and Wolseley UK Announce Successful Integration for Aeromark’s new Smarter Parts Solution

Aeromark, one of the UK's leading Service Management Systems, has announced it has successfully completed a full integration of its Optimatics Service Management Software with Wolseley UK as part of its unique 'Smarter Parts' module.

Read Full PostRead - Eye Icon
Technology Transactions
Innovation
29/06/2016Technology Transactions

As with many sectors, the value of technology transactions was impressive during the second half of 2015. In all USD 319,086 million-worth of deal making was recorded over the six months.

Read Full PostRead - Eye Icon
Australia’s Leading Intellectual Property Practitioner Firm
Legal
31/08/2016Australia’s Leading Intellectual Property Practitioner Firm

Patentec is one of Australia’s leading intellectual property practitioner firms providing individualised, capped-fee and expert patent attorney services.

Read Full PostRead - Eye Icon
Coinsilium Purchase of own Shares with Cash and Cryptocurrency
Finance
15/03/2018Coinsilium Purchase of own Shares with Cash and Cryptocurrency

Coinsilium Group Limited (NEX: COIN), the blockchain venture builder, advisor and investor that finances and manages the development of early-stage blockchain technology companies, is pleased to announce that on 7 March 2018, the Company completed the purchase

Read Full PostRead - Eye Icon
Greek Consumers Fiscal Future Looks Brighter
Finance
04/08/2015Greek Consumers Fiscal Future Looks Brighter

MoneyGram, an international money transfer service, has resumed international money transfers into Greece, offering hope to Greek consumers and businesses.

Read Full PostRead - Eye Icon
Pioneering UK Startup Unveils Smart Technology That Could Save Billions Of Litres Of Water A Year
Corporate Social Responsibility
12/06/2024Pioneering UK Startup Unveils Smart Technology That Could Save Billions Of Litres Of Water A Year

Showerkap, a UK tech startup, has designed the world’s first water management system that enables organisations to monitor and conserve water usage, while also nudging users to make more eco-friendly decisions that reduce water consumption, carbon emissions



Our Trusted Brands

Acquisition International is a flagship brand of AI Global Media. AI Global Media is a B2B enterprise and are committed to creating engaging content allowing businesses to market their services to a larger global audience. We have 14 unique brands, each of which serves a specific industry or region. Each brand covers the latest news in its sector and publishes a digital magazine and newsletter which is read by a global audience.

Arrow