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The Financial Services Authority (FSA) have been issuing hefty fines on companies breaking the norms of selling PPI .A whopping amount of fine has been imposed on companies as a result of  mis-sold PPI and financial mis-selling.

The watchdog has been on its toes to trace the wrongdoers who have been duping innocent loan borrowers with covers alongside their loan statements. This year has seen a record of fines levied by the FSA of nearly £54.5 million. You can also claim for the missold PPI as PPI claims are soaring as FOS gets complaints in thousands every week.

There should be new regulations set up by the FSA that should compel the lenders to follow them instead of mis-selling PPI. Though some new rules have been put to papers, that from October PPI cannot be sold alongside a credit agreement and lenders must wait seven days to contact a borrower about the insurance product. This will encourage people to shop and look around for the best product in the market for their needs that will stop lenders from over pricing covers and taking undue advantage of borrowers.

New rules for the providers will change the perception of borrowers of the product. But inspite of all these preventive steps, one thing that is being ignored is the professional requirements for advisers selling protection. The PPI is excluded as for now but would be under the scanner once 2012 arrives that would hopefully bring a sea change by the replacement of the watchdog.