FIN. TeamIn March 2017 FCA announced it was introducing a 29 August 2019 deadline for all PPI complaints to be submitted to firms or ombudsman services (subject to limited exceptions). This rule comes into effect on 29 August 2017 and applies to firms within the FOS’ compulsory jurisdiction (CJ). However, this rule currently will not apply to firms that FOS has ‘voluntary jurisdiction’ (VJ) over i.e. firms that choose to join the scheme and adopt certain rules created by the FOS (and approved by FCA).
FOS had previously proposed to change its rules to apply the CJ changes also to the VJ. Since FCA’s rule changes amended the rules (DISP 2.8) on which FOS had consulted, it is now consulting again on rule changes which will make the 2019 PPI deadline extend to firms whom it has voluntary jurisdiction over. Currently FOS only deals with a small, but not insignificant number of PPI complaints (predominantly against overseas insurers) under the VJ and the change will therefore only impact those businesses and their customers.
FOS asks for comments by 12 July and expects the changes to take effect in August with FCA’s rules.
