An FCA proposal to set a PPI claim deadline of June 2019 could bring an end to uncertainty brought by the “significant administration and costs”, says the NFDA.
The Financial Conduct Authority (FCA) announced today that it wants the rule for setting the deadline to come into force by the middle of 2017 alongside a consumer media campaign to promote the new deadline.
Consultation on the terms of the deadline will remain open until October 11th.
Sue Robinson, director of the National Franchised Dealers Association, said: “The NFDA is pleased to see that the Financial Conduct Authority (FCA) has published its feedback on proposed changes concerning a deadline for payment protection insurance (PPI) complaints.
“Dealers have been facing significant administration and costs for PPI claims and we believe that this decision will put an end to the uncertainty this has caused.
“The NFDA will respond to the consultation and support the consumer media campaign to raise awareness of the changes.”
Over £24 billion has already been paid out in compensation by banks, with the UK’s five largest having set aside a total of £32.6 billion to meet consumer claims.
Andrew Bailey, FCA chief executive, said: "Putting a deadline on PPI complaints will bring the issue to an orderly conclusion in a way that protects both consumers and market integrity.”