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FACTBOX-What UK banks have set aside for mis-selling

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(Globalpost/GlobalPost)

(Updates Lloyds provisions) LONDON, March 1 (Reuters) - Lloyds Banking Group has set aside a further 1.9 billion pounds ($2.9 billion) to compensate customers for mis-selling two types of products. Banks have provisioned more than 14 billion pounds to compensate customers for payment protection insurance (PPI), making it Britain's biggest bank mis-selling scandal. The final bill could be over 20 billion pounds, industry sources say. Lloyds alone has provisioned 6.8 billion pounds to cover PPI claims. Banks are also having to set aside money to compensate small companies for the mis-selling of interest rate hedging products. That bill could reach 10 billion pounds. In addition to compensation to customers, banks are incurring big administration charges. Lloyds said this accounted for 700 million pounds of its PPI costs. Following are details of provisions by major banks (in millions of pounds, except HSBC in millions of dollars): PPI === BANK PROVISION PAID OUT PERCENT OF PROVISION PAID Lloyds 6,800 4,344 64 Barclays 2,600 1,600 61 RBS 2,200 1,300 59 HSBC $2,100 $1,000 48 Santander 772 N/A Nationwide 173 N/A Co-op 130 N/A INTEREST RATE HEDGING PRODUCTS (IRHP) ===================================== BANK PROVISION TOTAL PRODUCTS COMPLEX PRODUCTS Lloyds 400 c.4,500 fewer than 100 Barclays 850 c.5,000 RBS 700 c.5,000 600 HSBC $240 c.5,000 customers c.200 Santander -- fewer than 500 ($1 = 0.6588 pound) (Compiled by Steve Slater and Matt Scuffham; Editing by Dan Lalor)

http://www.globalpost.com/dispatch/news/thomson-reuters/130301/factbox-what-uk-banks-have-set-aside-mis-selling