Gran’s name ‘forged by RBS for PPI policy she didn’t want’ How the signatures differ
‘Police should investigate’
Royal Bank of Scotland has paid compensation after being accused of forging a customer’s signature on a credit card application form to include a rip-off insurance policy.
The allegation has triggered fears that staff across the big banks may have done the same to win bonuses for many years.
Retired teacher Jean Mackay was signed up for payment protection insurance (PPI) alongside a credit card despite telling staff she did not want it.
RBS, which owns NatWest, denied any forgery when the great-grandmother tried to get a refund of her payments. However, after a ten-year fight, the bank has now apologised and offered £500 in compensation.
a hard- sell culture that developed across the high street banks in the 1980s and continued through to the financial crisis in 2008 meant staff were under pressure to sign customers up to PPI alongside credit cards and loans. Branch staff were rewarded with bonuses, champagne and other gifts for hitting targets.
Banks have paid out billions of pounds in compensation to customers for mis-sold PPI.
In 2008, Mrs Mackay, from Forres in Moray, Scotland, took advantage of an RBS credit card balance transfer offer of zero interest for 12 months and signed paperwork at her local branch.
She said: ‘I was asked if I wanted to take out protection insurance. I said, “No, I don’t need that”.’ She signed one box agreeing to the credit card terms but did not sign a second box agreeing to PPI.
Months later she realised she was paying more money than she had anticipated. Bank staff insisted she had signed up to PPI, but she knew that was untrue and asked for a copy of the original document. She insists the signature accepting PPI was a fake and this has subsequently been supported by a handwriting expert.
Based on the original complaint, the bank agreed to repay £117.71 plus £12 in interest to cover her PPI premiums without admitting wrongdoing, but Mrs Mackay said that was not good enough. She said: ‘ Someone had forged my signature. I took it to the local branch, then I went to head office. They insisted I had signed it. I was really annoyed.’
Mrs Mackay pursued her complaint through the Financial ombudsman but gave up her campaign after a cancer diagnosis in 2014. However, she decided to speak out after seeing a report in the Scottish Mail on Sunday featuring claims from bank whistleblowers that staff had forged customers’ signatures on official documents in the past.
after examining the RBS document at the centre of the forgery case, handwriting expert Emma Bache said: ‘The numerous and significant differences suggest they are unlikely to have been written by the same individual, as fundamental and unique handwriting characteristics are not a match.’
The group Bank Confidential, which helps whistleblowers lift the lid on suspect practices, believes the problem of bank staff forging customer signatures is widespread.
It wants city watchdog the Financial Conduct authority, the police and MPs on the Treasury select committee to investigate. Steve Middleton, chief adviser to Bank Confidential, said: ‘The FCa should launch a full investigation into this and report any criminal behaviour to police.’
When confronted with Mrs Mackay’s documents, RBS agreed to pay compensation, but said it made no admission about forging her signature. a spokesman said: ‘The incident took place nearly ten years ago and so we are unable to look at the case again in detail.
‘However, at the time a full investigation was carried out and it was found to be an isolated incident in that branch. Based on the information we have available today, we would like to offer a sincere apology and compensation of £500.’
The bank added that staff no longer receive incentives to sell extra products or services and that the individual involved in this case no longer works for the bank.