Banks have been ordered to scrap sales incentive schemes which watchdogs claim are actively encouraging staff to mis-sell financial products. The Financial Services Authority said it would step in to impose new rules if banks don't change commission payouts and bonuses to stamp out mis-selling by their sales people. The threat follows a review of incentive schemes at 22 banks, building societies, insurers and investment firms that uncovered shocking failings. Banks have been ordered to scrap sales incentive schemes which watchdogs claim are actively encouraging staff to mis-sell financial products. The Financial Services Authority said it would step in to impose new rules if banks don't change commission payouts and bonuses to stamp out mis-selling by their sales people. The threat follows a review of incentive schemes at 22 banks, building societies, insurers and investment firms that uncovered shocking failings......Read more here