Packaged bank accounts
This mis-selling case features all the main UK banks such as Lloyds, Barclays, RBS, HSBC and Santander. The bank accounts offered by these financial institutions often included additional services such as travel insurance and discounts in return for a monthly fee. However, banks often automatically upgraded some consumers to these accounts and failed to get proper consent. Banks also failed to check whether consumers were eligible for the benefits and insurance policies which came with the account. Staff could receive higher bonuses for pushing packaged accounts rather than normal no-fee current accounts.
In 2016, the Financial Conduct Authority published a review which found that banks must do more to ensure customers are treated fairly, both when they take out a packaged bank account and when they complain.