Lloyds is Financial Ombudsman’s most complained about business

3rd September 2013

img

It is not just Lloyds Banking Group’s share price which has surged in the past year as the latest numbers from the Financial Ombudsman show the amount of complaints registered against the group have also soared writes Philip Scott.

The Government watchdog in its latest data covering the businesses it received the most complaints about in the first half of 2013 found that overall in the first half of 2013, it took on a record number of 327,035 new complaints – an increase of 15 per cent on the previous six months.

Over 95 per cent of these cases came from 195 financial businesses – out of more than 100,000 businesses the ombudsman covers.

The numbers show that customer grievances against the 39 per cent taxpayer propped up Lloyds soared by a massive 366 per cent, from 27,745 complaints in the first six months of 2012 to a 129,293 in the first half of this year.

The second and third most complained about business groups were Barclays and Royal Bank of Scotland however they were some way behind the amount of complaints leveled against Lloyds, notching up 44,223 and 22,940 respectively. But despite the lower numbers, they each endured a significant rise in the amount of complaint put to them, with Barclays up 81 per cent and RBS seeing a rise of 171 per cent since the first six months of 2012.

HSBC saw complaints against it double, year-on-year to 18,444 while Santander saw a 72 per cent increase over the period to 9,891.

Complaints about so called payment protection insurance (PPI) made up more than eight out of ten, at 86 per cent, of the total complaints referred to the ombudsman during the first half of 2013 – with 266,228 new PPI complaints (compared to 211,885 in the last six months of the 2012). Five financial services groups accounted for 78 per cent of all new PPI cases.

For complaints about financial products other than PPI, the total number of complaints referred to the ombudsman reduced by 15% from 71,366 to 60,807 during the first six months of the year. This involved a decrease of 22% in banking complaints and 3% in insurance cases.

Commenting on the complaint statistics Natalie Ceeney, chief executive and chief ombudsman, says: “Disappointingly we are still seeing cases where businesses are not following our long-standing approach to PPI, resulting in long waits and unnecessary delays for consumers.

“But, more positively, we are seeing encouraging signs from some major businesses that are starting to recognise the value of getting things right for their customers – with an increased focus on sorting out problems and concerns as quickly as possible.”

How to complain

If you have an issue with your bank or another financial institution, in the first instance you need to complain directly to them to see if it can be adequately resolved. All firms have an eight week window in which to do this.

The Financial Ombudsman can help you do this is you are unsure about the best steps to take. Here are some hints on the best ways of making sure your complaint is taken seriously.

If you are not happy with how the business has dealt with your complaint, you can ask the FOS to look into it for you and the service is free of charge. You will need to fill in its complaint form, which can be found here.

For full information, on how the Ombudsman can help you, click here

The consumer helpline is 0300 123 9 123 or 0800 023 4567 (Monday to Friday – 8am to 8pm / Saturday – 9am to 1pm). The Ombudsman will be happy to call you back or you can email complaint.info@financial-ombudsman.org.uk.

It will usually be able to deal with phone queries on the spot – so phoning will be much quicker than emailing.

If your complaint is about payment protection insurance (PPI), most of the larger banks have PPI complaints units set up specially to deal with these cases.

Top 10 most complained about business groups

 

1 Jan – 30 June 2013
period 9

Percentage increase period 8 to period 9

1 July – 31 Dec
2012
period 8

1 Jan – 30 June 2012
period 7

1 July – 31 Dec 2011
period 6

Lloyds

129,293

38%

93,454

27,745

20,310

Barclays

44,223

-3%

45,532

24,457

12,273

Royal Bank of Scotland

22,940

19%

19,214

8,460

6,553

HSBC

18,444

11%

16,573

9,960

6,190

MBNA

15,747

-5%

16,629

9,613

9,903

Capital One

12,048

19%

10,115

5,866

5,375

Santander UK

9,891

-8%

10,753

5,754

6,202

Nationwide

9,082

-9%

9,928

4,553

2,513

National Australia Group

5,170

11%

4,669

2,898

1,829

Tesco

2,473

-17%

2,974

953

732

Total

269,311

17%

229,841

100,259

71,880

 

 

 

 

 

Source: Financial Ombudsman Service

3 thoughts on “Lloyds is Financial Ombudsman’s most complained about business”

  1. Scott Taylor says:

    I often hear that Lloyds TSB mis-sold PPI more than any other bank, so it’s not surprising to read that they’re the most complained about. They’re also not dealing with any complaints they get about PPI properly, which is why people are turning to the FOS.

  2. Bob Cash says:

    There are so many victims of Lloyds, the most complained about business in UK. With more than one OFFICAL complaint to Finanial Ombudsman every two minutes, no wonder the FO is ALSO accused of corruption. (With such an incredible volume of end-ending complaints, how could they possibly get 100% correct?)
    The author of this post, together with numerous other victims telling the truth on Lloyds FB page, is barred.
    One of the few places to air genuine grievances is on the new site, “The People against Lloyds”.
    Post, re-post and share to expose this EVIL company!

    https://www.facebook.com/#!/thepeopleagainstlloyds?fref=ts

  3. The Ultimate Truth says:

    Bob Cash, you, my friend…are an idiot! Many have complained about Lloyds, as they have complained about every bank no doubt, however large complaint figures actually mean they are committed to recording them properly, you donut! Wow, a bank that does things right, let’s slag them off, eh? I can’t fault Lloyds, they’ve been with me through thick and thin, don’t try and tar us loyal customers with your brush, Bob, on your bike son!

Leave a Reply

Your email address will not be published. Required fields are marked *