FSA's 'alarming' report will 'bring relief to small firms'
The Federation of Small Businesses (FSB) has called on banks to take swift action to compensate the businesses caught up in the mis-selling of interest rate 'swaps' "scandal." The FSB said it is concerned there is still not a clear route for businesses to appeal a decision.
The FSA’s report into mis-selling highlights the seriousness of the situation finding that 90 per cent of loans were mis-sold. This is alarming, but will come as a relief to the thousands of small firms who have been anxiously waiting for an outcome on this very complex situation.
Relief for small business, more bad news for the banks
The City watchdog found that 90% of interest rate swaps sold to small businesses were mis-sold, and customers are entitled to compensation.
What are interest rate swaps?
An FSA review found that more than 90% of so-called interest rate swaps sold to businesses were mis-sold. But what are they?