We use cookies to give you the best possible experience online. By continuing to use our website, you agree to receiving our cookies on your web browser. Visit our cookie policy page to find out more and how to change your cookie settings.

skip to main content

Catch up with the latest press releases from LV=

Large green heart

Statement from LVBS

Press release: 30/07/2008

Liverpool Victoria Banking Services Ltd (LVBS) has responded to the FSA's announcement today that it has fined LVBS for past shortcomings in its non-advised telephone sales process for single premium Payment Protection Insurance (PPI) policies sold with personal loans.

LVBS apologises to customers for any past shortcomings in the PPI sales process. It has proactively launched an appropriate customer redress programme and will be writing to all customers affected. The FSA acknowledges that the redress programme, which includes automatically refunding interest charged on PPI premiums, is "substantial and comprehensive".

The FSA's findings cover around 14,500 policies, of which 75% were sold prior to July 2006. The practices of automatically adding PPI to the quotation and not clarifying the full costs were rectified by July 2006. With around 50% of LVBS personal loans sold over this period, customers did not take up a PPI policy.

The FSA acknowledges that the LVBS redress proposals are "significant steps towards demonstrating that the firm is treating customers fairly".

LVBS's market share of PPI sales was less than 0.5%. LVBS exited the personal loans market in 2007, this followed its exit from credit card manufacturing in 2006.

Liverpool Victoria Banking Services Limited (LVBS) is authorised and regulated by the Financial Services Authority and is entered on the Financial Services Authority Register, No. 204551. LVBS is a member of the Finance and Leasing Association. Registered address: County Gates, Bournemouth, BH1 2NF, registered in England No. 432080.