The Provvy: An expensive £170 million lesson on its “repayment option plan”. It demonstrates why it pays to be fair.
One also wonders how this could occur in the wake of the PPI debacle.
The Provvy have just be fined just under £2 million and order to pay an estimated £168 million pounds in compensation for failing to provide its customers with information on the full cost of its repayment option plan.
To quote from a damning report, they failed “to make sure customers were informed about the full cost of the ROP when it was offered to customers. Most Vanquis customers chose the ROP to help manage their credit without realising instead that the product might lead to their indebtedness increasing. Customers are entitled to be told all relevant information when being offered financial products. These were very serious breaches.”