{"id":70036,"date":"2016-04-28T13:01:40","date_gmt":"2016-04-28T13:01:40","guid":{"rendered":"http:\/\/mostafa.openonline.co.uk\/?guid=d2567f3df3435b56f058ec6a2eb32134"},"modified":"2016-04-28T13:01:40","modified_gmt":"2016-04-28T13:01:40","slug":"press-release-barclays-breach-leads-to-apology-and-refund-for-ppi-customers","status":"publish","type":"post","link":"https:\/\/mostafa.openonline.co.uk\/?p=70036","title":{"rendered":"Press release: Barclays breach leads to apology and refund for PPI customers"},"content":{"rendered":"
\n

The apology letters, sent out to all affected customers, explained the error and offered to refund payment protection insurance (PPI<\/abbr>) premiums paid out since the date of the first missing statement \u2013 as well as 8% interest \u2013 to those who cancel their policy as a result.<\/p>\n

One of the measures introduced in the 2011 order that followed the Competition Commission\u2019s (CC<\/abbr>) investigation into PPI<\/abbr><\/a> was that all customers would receive an annual statement from their provider setting out the cost of PPI<\/abbr> and including a reminder of their right to cancel.<\/p>\n

A compliance report by Barclays in April 2015 revealed that 52 PPI<\/abbr> credit card customers had not received their annual statement.<\/p>\n

Further investigation into the issue revealed that, over the last 3 annual statement periods, a total of 9,404 credit card PPI<\/abbr> customers had not received their statements. Additionally 740 customers on a specific mortgage PPI<\/abbr> scheme had not received annual statements since the CC<\/abbr> order came into force in 2012.<\/p>\n

The CMA<\/abbr> has sent a letter<\/a> to Barclays about this breach of the order, requiring it to provide additional reporting on its controls to ensure that all such customers receive their statements in future.<\/p>\n

Adam Land, the CMA<\/abbr>\u2019s Senior Director of Remedies, Business and Financial Analysis, said:<\/p>\n

\n

The annual statement was an important measure resulting from the market investigation which ensures customers know they have a PPI<\/abbr> policy, how much they are spending on it and reminds them of their right to cancel or switch.<\/p>\n

Barclays has now taken the necessary steps to alert and recompense affected customers – as well as to ensure that there is no repeat in future. We trust that the extra reporting requirements we\u2019ve put in place will confirm this.<\/p>\n<\/blockquote>\n

Notes for editors<\/h3>\n
    \n
  1. The CMA<\/abbr> is the UK\u2019s primary competition and consumer authority. It is an independent non-ministerial government department with responsibility for carrying out investigations into mergers, markets and the regulated industries and enforcing competition and consumer law.<\/li>\n
  2. When the CMA<\/abbr> came into being in April 2014, it assumed the responsibility for monitoring and enforcing orders and undertakings introduced by its predecessor organisations, the CC<\/abbr> and the Office of Fair Trading.<\/li>\n
  3. The Payment Protection Market Investigation Order 2011<\/a>.<\/li>\n
  4. The CMA<\/abbr> has duties relating to the monitoring of an enforcement order and rights to enforce an order under sections 162 and 167 respectively of the Enterprise Act 2002. Where a party does not comply with an enforcement order, the CMA<\/abbr> may apply to the court to seek an appropriate remedy. The CMA<\/abbr> does not have a power to impose financial penalties for non-compliance. The Act also gives rights to persons who sustain loss or damage to enforce the order directly. Persons who sustain loss or damage as a result of the breach of a duty owed to them under the order may take legal proceedings to enforce the obligations owed to them under the order.<\/li>\n
  5. For more information on the CMA<\/abbr> see our homepage<\/a> or follow us on Twitter @CMAgovuk<\/a>, Flickr<\/a> and LinkedIn<\/a>.<\/li>\n
  6. Enquiries should be directed to Rory Taylor (rory.taylor@cma.gsi.gov.uk<\/a>, 020 3738 6798).<\/li>\n<\/ol>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

    Barclays has sent out apology letters and missing annual statements to around 10,000 PPI customers, following a breach of a CMA order.<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"_links":{"self":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/70036"}],"collection":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=70036"}],"version-history":[{"count":0,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/70036\/revisions"}],"wp:attachment":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=70036"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=70036"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=70036"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}