Barclays Bank have announced that they are to pay out to anyone who had lodged a PPI complaint before the 20th April 2011.
Barclays Bank and going to make payments on a no quibble basis to all those that had made a complaint before the date of the High Court ruling in an attempt to clear the huge back log of complaints that is has to deal with. Claimants will also get 8% interest added to the amount they recover. It is believed that this will effect tens of thousands of people.
Iain Lock managing partner of Q&A Law said “ this is great news for customers who have had to wait an incredible amount of time to get back money that is rightfully theirs. This is a good move by the bank but we would like to see the others follows suit to help those that have been kept waiting as a consequence of the Judicial Review proceedings taken by the banks.”
Barclays confirmed that it has ring-fenced £1bn to pay out in compensation.
Banks are now required to look at their previous sales procedures and to review all their past sales to see if their customers have a claim for mis-selling, even if the customer has not actually complained.
Complaints timetable
A new temporary timetable to deal with complaints has been introduced to help banks deal with the back log of complaints.
Normally, complaints would have to be dealt with in eight weeks however new complaints made after the 20th April but before 31st August 2011 must be dealt with in 16 weeks. This is to help the banks clear the vast amount of complaints they have received since the Judicial Review decision which has seen them receive tens of thousands of new claims.
PPI complaints made after the 31st of August but before the 31 December 2011 must be dealt with in 12 weeks thereafter the normal eight-week timetable will apply.
