Record £570k fine for PPI claims management firm

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Record £570k fine for PPI claims management firm

This is a duplicate of the Blog Entry made on: 20th October 2015 12:40

A claims management company has been fined £570,000 for pressurising hundreds of customers into making payment protection insurance (PPI) claims. The Claims Management Regulator (CMR), a unit of the Ministry of Justice (MoJ), issued the fine to Swansea-based Rock Law for “coercing clients into signing contracts.” Rock Law pressured people into signing without giving them enough time to understand the terms and conditions before taking unauthorised payments. The record fine is the second issued by the CMR and comes after the government changed the law in December 2014, introducing financial penalties for firms found breaching conduct rules Firms can now expect fines of up to 20 percent of their annual turnover, as well as having their trading licence suspended or removed. Head of claims management regulation Kevin Rousell said: “I hope firms that persist with poor practice take notice – If you break the rules you will have to pay. “Our investigation showed that Rock Law took unauthorised payments, which meant vulnerable people were at risk of being exploited......Read more here