UK Bank Regulator Cracks Down On Packaged Accounts

Law360, New York (July 27, 2012, 8:31 PM EDT) -- In an effort to protect consumers, the U.K.’s Financial Services Authority on Friday published stricter rules requiring banks and building societies to more diligently check whether customers are eligible for certain insurance policies before selling them a prepaid packaged account.

Packaged accounts are bank accounts that come bundled with travel, car or cellphone insurance and other extras such as discounts on overdraft fees, music downloads or access to VIP airport lounges. They make up a growing market in the U.K., and the new rules are an...
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