Industry bill for PPI claims could hit £53bn

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The new estimate for the cost of claims comes as shares in CYBG plunge as it warns of a higher bill.

The payment protection insurance scandal could cost banks £53bn, according to a forecast made as firms warned of mounting bills from claims.

Mr Lindley, who has been keeping a tally at the think tank, said: "This means that total provisions from the banks could reach £53bn." Policies were mis-sold to people who were borrowing money, but did not need the cover or would not be able to use it.But in millions of cases, the policyholders did not understand what they were paying for or that they might not be covered.The deadline sparked a wave of publicity and fresh claims, according to the industry.

Co-op Bank on Thursday said it had"received a substantially greater volume of inquiries and complaints than expected in the final days prior to the complaint deadline" and was assessing the impact on its costs for processing and paying out claims.

 

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Which kinda means ‘consumer bill’. We pay, shareholders and staff profit 💵

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