FCA to write to affected card protection customers

The Financial Conduct Authority (FCA) is writing to two million people that were mis-sold bank card insurance to advise them on how to make a claim for compensation.

The compensation scheme covers anyone that purchased the insurance between January 2005 and August 2013.

Customers paid around £25 a year to protect themselves against the loss or theft of their bank cards.  However, the regulator deemed this unnecessary as cover was already provided by their banks.

The insurance was provided by Affinion International and was sold by a number of banks including HSBC, Lloyds, Barclays, Royal Bank of Scotland, Santander and Tesco.