After an in-depth investigation into the Lloyds Banking Group, the Financial Ombudsman revealed several instances of malpractice in the PPI claims redress services. The FOS advises customers with PPI complaints not to contact them about fraud because only the courts and through legal processes can frauds be resolved.
If customers felt their PPI complaint was not handled properly by Lloyds, they are encouraged to submit their claim to the bank or take it to the Ombudsman.
The issue came after a Times reporter went undercover to become a PPI complaint handler exposed the malpractices done at Lloyds. The trainers from Lloyds’ Royal mint Court Branch, according to the reporter, said that some Lloyds salesman had faked PPI information on loan sales and that they were told to steer clear of the mess and turn a “blind eye”.
Lloyds said that their former contractor for handling complaints, Deloitte, had already been terminated last month. They also said that some of the comments of trainers to the Times reporter was not endorsed by the Lloyds Banking Group and do not reflect their general view on things. They also said their employees are currently undergoing re-training for assessing and handling claims.
Customers are advised to check their papework for their loan and see if PPI is included in their statements. It is important that customers also know how they were mis sold PPI.