Topic: Payment Protection Insurance

In Stuart Goodman and Margaret Goodman v Central Capital Limited [2012] EWHC B8 (Mercantile), the court considered a claim brought by the claimants (the Goodmans) in respect of their purchase of a Payment Protection Insurance (PPI) policy through Central Capital Limited (CCL) in relation to a loan agreement. 

The High Court has decided to stay two cases, Barnes v Black Horse Ltd and McIlquham v Black Horse Ltd [2012] EWHC 1950 (QB), in which the claimants allege they were missold PPI products by Black Horse Limited (part of the Lloyds TSB Group). 

On 6 March 2012, the UK Financial Services Authority (FSA) published guidance on the information which firms must provide when contacting customers who may have been missold payment protection insurance (PPI). The new guidance sets out what the FSA considers a customer contact letter should contain and how it should be presented so that it is clear, fair and not misleading. 

On 4 January 2012, the Solicitors Regulation Authority (the SRA) issued guidance to solicitors on their professional duties when dealing with claims relating to mis-sold payment protection insurance (PPI). 

In the case of Harrison & ANOR v Black Horse [2011] EWCA Civ 1128 it was held that a lender’s failure to disclose to borrowers that it received commission for selling them payment protection insurance did not amount to unfairness under s.140A and s.140B Consumer Credit Act 1974 (the Act). 

On 9 May 2011, the British Bankers Association (BBA) announced that it would not be appealing the High Court judgment that decided the Financial Service Authority’s complaints handling rules relating to the mis-selling of payment protection insurance (PPI) were lawful. 

In a judgment handed down on 20 April 2011, the High Court dismissed a judicial review application made by the British Bankers Association (BBA) against complaints handling rules relating to the mis-selling of payment protection insurance (PPI).  Please click here to view a copy of the judgment. 

In a consultation launched on 14 December 2010, HM Treasury outlined proposals for the development of “Simple Financial Products”(click here for a copy of the consultation), in particular payment protection insurance (PPI) products. 

In a report published in January 2009, the Competition Commission proposed a prohibition on the sale of payment protection insurance policies (PPI) at the point of sale (see our earlier blogs on the topic, including here). Following a legal challenge by Barclays Bank Plc to the proposed prohibition, the Competition Appeal Tribunal asked the Competition Commission to reconsider the advantages and disadvantages of its proposed remedies package.