Findel PLC

Flawed Financial Services Product Update

RNS Number : 9101A
Findel PLC
29 March 2017
 

29 March 2017

Findel plc (the "Group")

Flawed financial service products update

 

As highlighted in the Interim Results Statement issued on 30th November 2016, the Group had set aside a total provision of £17.7m for customer refunds in respect of flawed historic financial services products. This was based upon findings from a pilot contact programme, although it remained an estimate ahead of rolling out the programme in the coming months.

Following a more detailed assessment of our customer database, it has become clear that the overall provision estimate needs to be increased. The increase arises from the need to correct our earlier assumption that the profile of refunds for the main flawed products would be the same. These changes in assumptions will increase the overall provision estimate to £29m, with £4.3m of this having been refunded to customers to date.  It is anticipated that this refund exercise will be completed over the next 18 months with an approximate equal split between cash and account balance refund.

This increased provision is based upon our present knowledge, including our prevailing response rates and the current regulatory approach.

 

Enquiries:

Findel plc (0161 303 3465)          
Tim Kowalski

Phil Maudsley

 

Tulchan Communications LLP (020 7353 4200)

Stephen Malthouse

Will Smith

 


This information is provided by RNS
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