MoJ crackdown on claims management firms
by Gill Montia
Story link: MoJ crackdown on claims management firms
A crackdown by the Claims Management Regulation Unit has seen 352 companies shut down, suspended or warned for bad practice in the past six months.
According to the Ministry of Justice, the unit is taking a tough stance on firms that short-change customers, whether through bad service, misleading marketing or hidden charges.
Between April and November 2012, 209 companies have been shut down and had their licences removed, three have been suspended and 140 have been warned.
The actions come ahead of Government plans to give consumers even more protection against rogue claims management firms, including customers agreeing a written contract before any fees can be taken.