Gypsy and Traveller businesses mis-sold "swaps" by banks

14 March 2013
  • Two Traveller businessmen already seeking 7-figure sum
  • Gypsies and Travellers should check if they were mis-sold swaps
  • Billions put aside for compensation 
  • Lawyers urge people to act now before changes to legal aid rules and deadlines for getting money back

 

GYPSY AND TRAVELLER businesspeople are seeking compensation after being mis-sold complex financial products by the banks they trusted.

The deals, known as "swaps", were sold typically with business loans, but in many cases they were not properly explained to customers.

Billions of pounds is being put aside by banks for expected claims.

Banks may have taken advantage of customers who could not have known the details of what they were being sold.

Gypsy and Traveller people with limited literacy should be especially concerned, according to lawyers.

"We are aware of two Traveller businessmen who were mis-sold a series of swaps in 2009 and who are currently seeking compensation in a 7-figure sum," say top lawyers Howe & Co, who helped fight the campaign against Channel 4's "Bigger, Fatter, Gypsier" billboards and who are acting in a number of cases against the banks.

"Speed is of the essence, as Travellers and Gypsy businessmen who do not act now may lose the chance to get very substantial compensation due to mis-selling," they told Travellers' Times.

"The banks have already put aside billions of pounds to compensate business people including Gypsy and Traveller business people.

"It appears clear that very many Gypsy and Traveller business people may have been mis-sold complex financial products by the bankers whom they trusted," Howe & Co added.

Earlier this year the Financial Services Authority (FSA) found several banks guilty of mis-selling swaps.

"It is very likely that there are Gypsy and Traveller business people who are entitled to substantial compensation.

"Gypsy and Traveller business people should seek advice urgently to check if they have been mis-sold swaps, and, if they have, to press for the compensation they deserve from the banks," said Howe & Co.

More than 90 per cent of "swaps", known by other technical names such as interest rate derivatives, could have been mis-sold.

The BBC reported in January that Barclays, HSBC, Lloyds and the Royal Bank of Scotland have all been involved in the mis-selling of "swap" deals.