Which? calls on FSA to impose sweeping PPI reforms

As Which? Money this week publishes details of a couple who paid £22,568 in PPI for a £56,000 loan, the consumer watchdog has written to the Financial Services Authority (FSA), calling for an overhaul of the PPI market.

Which? personal finance campaigns manager, Doug Taylor, says: "Slapping firms on the wrist with large fines is a start but doesn't go far enough.

"The fact that firms are still being fined for PPI failings shows that the problem won't go away on its own and PPI's relatively low profile means the number of complaints doesn't necessarily reflect the number of mis-sold policies.

"The FSA must do more to deter firms from mis-selling in the first place, ensuring that all victims of mis-selling are automatically compensated with a fair and robust system."