Financial services complaints fall
The number of people complaining about financial services has fallen in the last six months, according to the latest data from the Financial Conduct Authority (FCA).
The 2.6% reduction in complaints between January and June 2016 compared to the previous six months, brings the total number of complaints filed in the first half of this year to 2.05 million.
Perhaps unsurprisingly the product that people are most likely to complain about remains payment protection insurance (PPI), with 0.93 million complaints alone. However this figure does remain pretty much unchanged on the previous six months.
The area to see the biggest fall in complaints was current accounts – with the number of complaints falling by 46,000 or 10%.
Between January and June 2016, the most complained about providers were as follows:
- Barclays Bank: 287,463 complaints – an increase of 3% on previous six months
- Lloyds Bank: 213,163 - a decrease of 7% on previous six months
- Bank of Scotland: 173,646 - a decrease of 5% on previous six months
- HSBC Bank - 124,891 - an increase of 3% on previous six month
- NatWest - 121,197 - a decrease of 10% on previous six months
However, it’s worth noting that these complaints figures don’t take into account the size of the provider, so these providers may also have the most customers, which could inflate complaints figures.
Christopher Woolard, director of strategy and competition, says: “To see another six months of reduction in the total number complaints is encouraging. Firms still need to continue to ensure they are doing all they can to reduce consumer dissatisfaction, but the figures show firms are taking our feedback seriously”.
Payment protection insurance is designed to cover you should you fall ill, have an accident or lose your job and can’t make repayments on loans or credit cards. However, research by consumer watchdogs found the cover to be overpriced, filled with exclusions (policies exclude self-employment, contract employees and pre-existing medical conditions) and were often mis-sold because the exclusions were never fully explained. In May 2011, the High Court ruled banks had knowingly mis-sold PPI and ordered them to compensate around two million consumers.