Forum Home» Reclaim PPI & Other Insurance

MSE News: City regulator: 'We got it wrong on PPI'

New Post Advanced Search

MSE News: City regulator: 'We got it wrong on PPI'

edited 30 November -1 at 1:00AM in Reclaim PPI & Other Insurance
14 replies 2.3K views
Former_MSE_HelenFormer_MSE_Helen
2.4K posts
edited 30 November -1 at 1:00AM in Reclaim PPI & Other Insurance
"The FSA admits it failed to spot just how profitable PPI was for banks, so didn't put its foot down..."
«1

Replies

  • VT82VT82 Forumite
    1.1K posts
    The banks and building societies that failed or came close now have more or less brand new boards, have made redundancies lower down, face expensive increased regulation, expensive minimum capital and liquidity requirements, FSCS levies etc. and are still villified.

    The FSA might be being split up, but did anyone their lose well paid jobs or have their name smeared through the press who was asleep on the watch? And of course they've been able to recruit to several multiples of their former size, all paid for from a bottomless pit of taxpayer money, and all the jobs that have been created are well paid central London based finance jobs.

    But no one bats an eye-lid because they are the 'good guys' :mad:
  • dunstonhdunstonh Forumite
    102.7K posts
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    ✭✭✭✭✭✭
    And of course they've been able to recruit to several multiples of their former size, all paid for from a bottomless pit of taxpayer money

    Paid for by FSA regulated firms (most of whom never create any problems). The cost of which is then passed onto the consumer. I seem to recall that there is an extraordinary number of FSA employers earning in excess of £100k a year.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • ConsumeristConsumerist Forumite
    5.5K posts
    Part of the Furniture 1,000 Posts Name Dropper
    ✭✭✭✭
    "But the FCA will be different, Wheatley insists. It will be able to shoot first and ask questions later.
    But will it?

    For all the good the regulator has been, you might as well have put the BBA in charge of monitoring the banks. At least we would have known up front whose interest they would have been serving.

    I have no faith that the FCA of the future will be any better for consumers than the FSA has been in the past. I think they are only talking the talk without the stomach for walking the walk.

    Why put an executive from a failed organisation in charge of the FCA unless it is intended that it fails again?
    >:)Warning: In the kingdom of the blind, the one-eyed man is king.
  • [Deleted User][Deleted User]
    0 posts
    Eighth Anniversary 10,000 Posts Name Dropper Photogenic
    MoneySaving Newbie
    I have no faith that the FCA of the future will be any better for consumers than the FSA has been in the past. I think they are only talking the talk without the stomach for walking the walk.
    Yes, the whole conversation in the article is just hyperbole to promote the soon to arrive FCA.
  • dunstonhdunstonh Forumite
    102.7K posts
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    ✭✭✭✭✭✭
    The PIA, FSA and FCA are all the same apart from the initials. Change the names of certain things, tweak things here and there but its just a name.

    Those of us in the retail financial services industry will tell you how useless the FSA has been. It comes up with hair brained schemes which cost a fortune to implement and benefit no-one whilst totally ignoring the issues which everyone in the industry knows exists. Those schemes it brings in have often been scrapped or reduced in priority but still have to be done even though they are totally pointless but they wont admit it.

    IFAs account for 3000 complaints at the FOS each year. That is 1% of total complaints (despite dominating the retail distribution). One of the biggest and most expensive set of changes the FSA has put in place is the Retail Distribution Review which affects IFAs.

    Any normal person would look at where the problems are and focus on those. Not the FSA.

    It used to be said that the FSA targeted IFAs as most of the staff were ex bankers. That is not the case any more as they focused on straight out of uni graduates. But it used to be a big problem.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • [Deleted User][Deleted User]
    0 posts
    Eighth Anniversary 10,000 Posts Name Dropper Photogenic
    MoneySaving Newbie
    dunstonh wrote: »
    The PIA, FSA and FCA are all the same apart from the initials. Change the names of certain things, tweak things here and there but its just a name.
    I would tend to agree.;)
  • magpiecottagemagpiecottage
    9.2K posts
    ✭✭✭✭
    dunstonh wrote: »
    The PIA, FSA and FCA are all the same apart from the initials. Change the names of certain things, tweak things here and there but its just a name.

    It is a bit like changing the name of a The Failing School to the Failing Academy and then smugly assuming it is all okay.
    Those of us in the retail financial services industry will tell you how useless the FSA has been.
    I don't think it has been as good as that. If it had done nothing at all the consumer detriment it has caused by incurring enormous cost that, in the end, is passed on to those consumers would have been avoided.
  • ConsumeristConsumerist Forumite
    5.5K posts
    Part of the Furniture 1,000 Posts Name Dropper
    ✭✭✭✭
    It is a bit like changing the name of a The Failing School to the Failing Academy and then smugly assuming it is all okay.
    . . . or rather like rearranging the deckchairs on the sinking Titanic.
    I don't think it has been as good as that. If it had done nothing at all the consumer detriment it has caused by incurring enormous cost that, in the end, is passed on to those consumers would have been avoided.
    I quite agree. Far worse than useless to consumers.

    Mr. Wheatley, I do not believe you can change your spots.
    >:)Warning: In the kingdom of the blind, the one-eyed man is king.
  • oldvicaroldvicar Forumite
    1.1K posts
    dunstonh wrote: »
    It used to be said that the FSA targeted IFAs as most of the staff were ex bankers. That is not the case any more as they focused on straight out of uni graduates. But it used to be a big problem.

    Is it better to be advised by an ex-banker, or a straight out of uni graduate?

    If I had to choose I'd prefer to hear what the ex banker had to say. But I wouldn't trust either of them with my money.
  • tifotifo Forumite
    1.2K posts
    Part of the Furniture 1,000 Posts Combo Breaker
    ✭✭✭
    dunstonh wrote: »
    Paid for by FSA regulated firms (most of whom never create any problems). The cost of which is then passed onto the consumer.

    The FSA is paid for in levies on firms 100%? Not a penny from the Govt (taxpayer)?
Sign In or Register to comment.

Quick links

Essential Money | Who & Where are you? | Work & Benefits | Household and travel | Shopping & Freebies | About MSE | The MoneySavers Arms | Covid-19 & Coronavirus Support