The investigation conducted by the Central Bank into misselling of payment protection insurance is nearing its end. The Central Bank had required all lenders to be present in a meeting and it is rumored that banks and financial institutions have been found guilty of selling PPI inappropriately. The Central Bank spokeswoman confirmed that the investigation shall end soon and that the relevant findings shall be made public. This is an important development considering the fact that customers will become eligible for refund running into millions of euros if it is proved that banks were indeed guilty of misselling.
Banks encouraged mis-selling of PPI policies in the most blatant manner possible. Those who are not eligible to purchase these policies were cheated into thinking that they can file claims at a later date. Customers who were not aware of the fine print were never told that the cost of mis-sold PPI has been added to the cost of the policy. Now, banks are complaining about the fact that 4% of all complaints are unjustified and that the claims management companies are exploiting them.