RBS and Santander warned to "play by the rules" by CMA after PPI breaches
The Competition and Markets Authority (CMA) has taken action against banking giants Royal Bank of Scotland (RBS) and Santander for PPI breaches.
The CMA has today ordered the banks to fix their PPI breaches after it was found that both institutions failed to send, or send inaccurate, annual PPI reminders.
The authority issued the Royal Bank of Scotland (RBS) and Santander with directions requiring them to appoint an independent body to audit their payment protection insurance (PPI) processes.
In addition, They must put in place procedures to ensure that similar incidents do not happen again.
Adam Land, the CMA’s senior director of remedies, business and financial analysis, commented: “It is unacceptable that some banks aren’t providing PPI reminders - or are sending inaccurate ones - 8 years after our order came into force.
“The legally binding directions we’ve issued today will make sure that both RBS and Santander now play by the rules.
“These are serious issues that, in the future, may result in fines if the Government gives us the powers we’ve asked for.For now, we expect RBS to repay all affected customers quickly, and for both RBS and Santander to make sure that similar breaches do not happen again.”
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