As Christofi Law have been predicting for some time, news broke at the start of February 2013 that the banks have been found guilty of mis-selling “swap” and hedging style products opening the door to customers to bring claims for compensation against the banks which had offered these products.
Many people have been put off making claims by the cost and the complexity of making their claims, along with the belief that the banks could not possibly have participated in mis-selling. However the FSA findings once again prove that the banks have been shoddy in their handling of investment advice – and that the banks do make mistakes. Although there is a “non –sophistication “ test and some other hurdles to get over, most entities will overcome the problems associated with the definition of “non- sophisticated “ customer (essentially and entity taking a loan under £10 million). Provisions are already in place by the banks for paying back losses.
The scandal echoes the PPI mis-selling which has caused a headache for the banks , although claimants will need representation more sophisticated than that on offer by the PPI claims companies, who are regarded by the public – and perhaps perhaps fairly so – “ambulance chasers”. Christofi Law predict substantial claims in due course by customers for another banking scandal – LIBOR fixing, and provisions are in place for assisting clients with the legal costs of pursuing the banks for swaps actions..
Contact Chris Christofi at Christofi Law to advance your claim.