According to a spokesperson from Moneyfacts.co.uk, payment protection insurance (PPI) on loans is pushing "customers' needs…to one side in search of profit".
Lisa Taylor from the financial advice website said there were ten things wrong with PPI, including the price being too high, the sales process being underhand, and the terms and conditions being "complicated".
The Office of Fair Trading published a paper on the subject of PPI three weeks ago and is now looking for feedback from within the industry.
"Let's hope this is the start of long overdue process to reform the payment protection market, if only to make consumers aware of the true costs and to let them know they do have choices," Ms Taylor said.
"While the cover that PPI provides can prove invaluable in some instances, consumers should think about the consequences of income changes on their ability to repay borrowing.
"The disgruntlement with the PPI product stems much deeper," she added.To read more about loans, click here.
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