Mis-selling probe to order refunds

Seven financial institutions are expected to be ordered to pay back tens of millions of euro in mis-sold payment protection insurance premiums by the Central Bank’s director of consumer protection, Bernard Sheridan.

Already two banks, AIB and Bank of Ireland, have paid back more that €4m to 13,000 customers who were mis-sold insurance. It is expected that millions more will have to be paid back to thousands of other customers who were mis-sold the insurance products over a long number of years. It is not know if any of the seven financial institutions have made provisions for the millions they will have to pay out.

Today at noon, the Irish Examiner understands, the results of a “themed investigation” by Mr Sheridan will outline widespread abuse by banks of customers who were mis-sold the products.