£12m Hit in PPI Claims Causes Financial Down to Ocean

July 12, 2012 - PRLog -- Ocean finance and mortgages is a famous lender and broker in UK. This financial company is facing economic losses after £12 million hit due to mis sold payment protection insurance claims. Last year company’s losses have rose up with £14.1 million from £706,714 that was losses of year before. It has been expected that financial firms will set up PPI claim compensation by making payments of £9 billion. Several banking firms were caught in PPI(http://www.ppiclaims.uk.com/payment-protection-insurance/) scandal and most of them are struggling to manage financial stability.

In pre-recession peak Company workforce come down from 300 to 163. Problem arises due to fall in interest income of firm. Mortgage sector will face the problem continue in recession period. Chief Operating officer of the firm Gareth Shilton has stated that company will take all possible development measure to protect firm in adverse financial environment. Officer has also stated that firm will continue business in streamline fashion. Ocean is already a popular and reputed banking firm and it will make profits by reducing costs. It has already strong liquidity position.

Spring leaf financial services own Ocean finance and mortgages. Pawl Newey has set up this US firm. However, after making several million pound profits in last some years, the company is now facing with financial losses. Past business reports and financial statement of the company shows huge profit in last some years. The company was involved in mis selling of PPI claims(http://www.ppiclaims.uk.com/). After investing the complaints FSA has fined this company with £12 million.

Ocean is managing to maintain financial position in adverse economic situation. Company will also have to pay back compensation to the victims having mis sold PPI(http://www.ppiclaims.uk.com/mis-sold-ppi/) plan.  All these situations are not good for financial stability of the firm. But bank officials have promised to restore previous financial situation.