Misselling: Difference between revisions
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==Financial misselling== |
==Financial misselling== |
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Financial misselling refers to deliberate false statement made by individual, usually a financial organization representative to sell off their financial products or services usually not profound to the customer.<ref>{{cite web | url=http://www.ppiclaimsadviceline.com/advice/beat-the-banks-and-bag-a-full-refund-with-our-ppi-claims-mini-guide/ | title=Beat the banks and bag a full refund | accessdate=3 March 2014}}</ref> For example, HomeServe an emergency home repair insurance company based in United Kingdom was fined for £30m for misselling to its customers by [[Financial Conduct Authority]] in Feburary, 2014 as they failed to explain actual price and its coverage of their financial products.<ref>{{cite news | url=http://www.theguardian.com/money/2014/feb/13/homeserve-misselling-regulator-fine | title=HomeServe fined £30.6m for poor complaints handling and mis-selling | work=Theguardian.com | date=13 February 2014 | accessdate=3 March 2014 | author=Hilary Osborne}}</ref><ref>{{cite news | url=http://www.telegraph.co.uk/finance/personalfinance/insurance/buildingsandcontent/10636425/HomeServe-fined-30m-for-mis-selling-to-70000-customers.html | title=HomeServe fined £30m for mis-selling to 70,000 customers | work=Telegraph.co.uk | date=13 Feb 2014 | accessdate=3 March 2014 | author=Nicole Blackmore}}</ref> According to a news in The telegraph, Britain's financial services industry has PPI claims were around £13bn from 2008 to early 2014.<ref>{{cite news | url=http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/10655248/PPI-mis-selling-claims-have-yet-to-peak.html | title=PPI mis-selling claims 'have yet to peak' | work=Telegraph.co.uk | date=22 Feb 2014 | accessdate=3 March 2014 | author=Szu Ping Chan}}</ref> |
Financial misselling refers to deliberate false statement made by individual, usually a financial organization representative to sell off their financial products or services usually not profound to the customer.<ref>{{cite web | url=http://www.ppiclaimsadviceline.com/advice/beat-the-banks-and-bag-a-full-refund-with-our-ppi-claims-mini-guide/ | title=Beat the banks and bag a full refund | accessdate=3 March 2014}}</ref> For example, HomeServe an emergency home repair insurance company based in [[United Kingdom]] was fined for £30m for misselling to its customers by [[Financial Conduct Authority]] in Feburary, 2014 as they failed to explain actual price and its coverage of their financial products.<ref>{{cite news | url=http://www.theguardian.com/money/2014/feb/13/homeserve-misselling-regulator-fine | title=HomeServe fined £30.6m for poor complaints handling and mis-selling | work=Theguardian.com | date=13 February 2014 | accessdate=3 March 2014 | author=Hilary Osborne}}</ref><ref>{{cite news | url=http://www.telegraph.co.uk/finance/personalfinance/insurance/buildingsandcontent/10636425/HomeServe-fined-30m-for-mis-selling-to-70000-customers.html | title=HomeServe fined £30m for mis-selling to 70,000 customers | work=Telegraph.co.uk | date=13 Feb 2014 | accessdate=3 March 2014 | author=Nicole Blackmore}}</ref> According to a news in [[The telegraph]], Britain's financial services industry has PPI claims were around £13bn from 2008 to early 2014.<ref>{{cite news | url=http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/10655248/PPI-mis-selling-claims-have-yet-to-peak.html | title=PPI mis-selling claims 'have yet to peak' | work=Telegraph.co.uk | date=22 Feb 2014 | accessdate=3 March 2014 | author=Szu Ping Chan}}</ref> |
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== References == |
== References == |
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Revision as of 06:07, 3 March 2014
Misselling is the deliberate, reckless, or negligent sale of products or services in circumstances where the contract is either misrepresented, or the product or service is unsuitable for the customer's needs. For example, selling life insurance to someone who has no dependents is regarded as misselling.[1]
Types
Various common types of misselling may occur. More recently, banks have been at the center of misselling with products such as ISAs and investments[2][3]
Material misrepresentation
This may include misrepresentation of the commercial situation.[4]
Suitability
The sale of unsuitable products, such as invalid insurance, is misselling, and has led to substantial compensation orders.[5]
Financial misselling
Financial misselling refers to deliberate false statement made by individual, usually a financial organization representative to sell off their financial products or services usually not profound to the customer.[6] For example, HomeServe an emergency home repair insurance company based in United Kingdom was fined for £30m for misselling to its customers by Financial Conduct Authority in Feburary, 2014 as they failed to explain actual price and its coverage of their financial products.[7][8] According to a news in The telegraph, Britain's financial services industry has PPI claims were around £13bn from 2008 to early 2014.[9]
References
- ^ "Misselling Definition". Investopedia. Retrieved 2012-03-23.
- ^ "Mis Sold Investments - How to tell if you have been mis sold". creditclaimsonline.co.uk. 2013-05-17. Retrieved 2013-05-17.
- ^ "ISA Helpline - Banks not giving proper ISA advice". isahelpline.co.uk. 2013-03-27. Retrieved 2013-03-27.
- ^ "Fed up with doorstep cold callers? | Which? Conversation". Conversation.which.co.uk. 2011-05-19. Retrieved 2012-03-23.
- ^ "BBC News - Santander profits hit by PPI mis-selling costs". Bbc.co.uk. 2011-07-27. Retrieved 2012-03-23.
- ^ "Beat the banks and bag a full refund". Retrieved 3 March 2014.
- ^ Hilary Osborne (13 February 2014). "HomeServe fined £30.6m for poor complaints handling and mis-selling". Theguardian.com. Retrieved 3 March 2014.
- ^ Nicole Blackmore (13 Feb 2014). "HomeServe fined £30m for mis-selling to 70,000 customers". Telegraph.co.uk. Retrieved 3 March 2014.
- ^ Szu Ping Chan (22 Feb 2014). "PPI mis-selling claims 'have yet to peak'". Telegraph.co.uk. Retrieved 3 March 2014.