The Central Bank has issued an update on its on-going investigation into the sale of payment protection insurance (“PPI”) to Irish consumers. The Central Bank has confirmed that as requested the six firms, namely, The Bank of Ireland, Allied Irish Banks, EBS, GE Money, Ulster Bank and Permanent TSB, have commenced reviews of their PPI sales since August 2007. These firms have been instructed to engage independent third parties to oversee the review and the Central Bank has confirmed that it is closely monitoring the review process. The Central Bank stated that consumers of these firms do not need to do anything at this point and that the firms will be communicating with their consumers shortly to outline the approach taken and the expected timelines for completion of their reviews.
With regard to other PPI complaints, including those relating to sales prior to August 2007, the Central Bank stated that these should be dealt with in compliance with the Consumer Protection Code 2012.
The Central Bank highlighted to consumers that where a PPI related complaint or enquiry is being dealt with by claims management companies on behalf of consumers, the claims management company will charge significant fees for doing so.
Finally, the Central Bank announced that it has extended its investigation to look at PPI sales by other banks and credit institutions and that enforcement actions are being considered. The Central Bank stated that it will update consumers as developments arise.