People who have claimed PPI compensation from RBS and NatWest have received £1,677 each, on average, according to the group's latest annual report.
As a result of the payouts, which have cost the state-owned bank £4.3 billion to date, RBS had to increase the money put aside for claims by £600 million in 2015.
But the true amount that customers will get back could be far higher, as RBS expects just 56% of people who were sold PPI will make a claim. Should the claims rate rise to 61% - aroudn three in five affected people - RBS says it will have to pay out £55 million more.
These figures highlight the importance of submitting a claim if you've been affected. Compensation could be worth well over £1,000, and there's a very high chance that claims will be successful. So far, 91% of PPI claims against RBS have been upheld in consumers' favour (excluding claims from people who never bought PPI).
This issue doesn’t just affect RBS customers; anyone mis-sold PPI can get their money back, plus interest. Only this week, for example, Lloyds Banking Group announced it has now put aside a massive £16 billion to cover mis-selling claims.
Get your money back
If you’ve taken out a loan, credit card or mortgage, check your records or contact your lender to see if you have a PPI claim. Read our checklist of people who may qualify for compensation, including a template letter to make the reclaiming process as easy as possible.
Don’t be tempted to pass the work over to a claims handler, as it’ll take about a quarter of your compensation, according to a recent report from the National Audit Office. You can do this yourself, for free.
What does RBS say?
An RBS spokesperson declined to comment further on these PPI figures, though its report states: “Like other banks, we continue to look for opportunities to resolve legacy conduct issues on terms we believe to be acceptable.
“We have recently added to our provisions in relation to residential mortgage-backed securities in the US (RMBS) and Payment Protection Insurance (PPI).”
The business, alongside several other UK banks, is also complying with the Financial Conduct Authority to identify ill-advised investment recommendations from its advice arm made between March and December 2012.
It has also put aside £307 million to settle potential claims from packaged account customers.