Take PPI away from credit providers says British Insurance

In its Provisional Findings Report, the Commission states that consumers are overcharged £1.4bn a year for PPI – representing a 490% return on equity for the 12 largest distributors. Typical commission rates are between 50 and 80% for Personal Loan and Credit Card PPI and 40-65% for Mortgage PPI.

The Commission concludes that because lenders know they have a monopoly in selling PPI at the time of the loan application, they charge high prices at the expense of the consumer.

In a bid to reduce