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Financial services companies attract 1000 complaints a day

Cherry Reynard
Written By:
Cherry Reynard
Posted:
Updated:
05/02/2019

The Financial Ombudsman Service is taking on more than 1,000 new complaints against financial services providers a day, with PPI attracting the most complaints.

The latest set of quarterly data (to December 2018) showed that the service received 161,195 enquiries in the period and took on 92,903 new complaints.

It upheld a third of all the complaints it received, but some products were notably worse than others. For complaints about instalment loans, for example, the uphold rate was 67%. These are like payday loans but paid in smaller instalments. Over half of payday loan complaints were upheld – the ombudsman service received almost twice as many complaints about payday loans as in the whole of 2017/2018, though this did drop in the third quarter as Wonga went bust. Self-invested personal pensions and current accounts also had higher numbers of complaints upheld.

PPI continued to be the most complained-about financial product, with 40,855 new complaints. PPI complaints made up nearly 44% of all complaints received by the ombudsman service. The cut-off date for making a PPI claim is 29 August 2019, which may be boosting the number of complaints as consumers rush to beat the deadline. The uphold rate for PPI increased slightly from 26% to 29%.

Caroline Wayman, chief ombudsman and chief executive of the Financial Ombudsman Service, said: “The number of PPI complaints we have taken on recently topped two million, and PPI cases still make up a significant proportion of our work. However, we deal with complaints about the full spectrum of financial products, and we would urge anyone who has a complaint about a financial business to get in touch with us.”