Bank expecting more PPI claims

Lloyds Group is expecting many more claims from people who feel they were mis-sold payment protection insurance (PPI), it has made clear.

In its in…

Lloyds Group is expecting many more claims from people who feel they were mis-sold payment protection insurance (PPI), it has made clear.

In its interim management statement for the first quarter of the year, the bank has set aside £1.75 billion to settle claims amid an "increased volume" of customers wanting recompense.

Banks across the country have been paying back billions to consumers mis-sold loan protection they did not want or were not properly informed about.

While this may help some people with loans, many consumers who have borrowed heavily could find they need more help to get out of a difficult financial position, not least those who have lost their jobs and are struggling to pay back what they owe.

In such circumstances, a debt management plan may be helpful in reducing the monthly payments.

Banks themselves will be responsible for some of the problems faced by those who are unemployed, as HSBC announced over 2,000 job losses last month, while Yorkshire and Clydesdale Banks are set to lose 1,400 by 2015.

By James Francis

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