Renewed hope for SMEs mis-sold interest rate swaps
The date for the first appeal case for interest rate swaps mis-selling has been brought forward following a request by the Financial Conduct Authority (FCA).
Originally scheduled for 14-15 October, the new date will now be between 29th and 31st July.
The case involves hotelier, Paul Rowley, and estate agent, John Green, who claim they were mis sold an interest rate swap by the Royal Bank of Scotland (RBS) in 2005.
The original claim was discussed after RBS was deemed to have provided information only and not advice regarding the nature of the swap product. The bank was also believed to have taken ‘reasonable steps’ to ensure the clients understood the significant break costs associated with the interest rate swap.
The request from the FCA suggests it is eager for a quick resolution of the case which, in turn, is good news for other small and medium-sized enterprises (SMEs) who have been affected by interest rate swaps mis selling.
Solicitor Kara Britton of Goldsmith Williams comments on this latest development:
"Naturally, being the first case of its kind, small and medium-sized businesses were left disappointed at the original verdict. However this latest news will undoubtedly provide fresh hope for those affected by interest rate swaps mis selling.
“While the advancement of the appeal date is good news, affected businesses cannot afford to wait around for the outcome; in most cases businesses will only have six years from the date of the swap to issue a claim. After this date passes, businesses will lose their right to claim.”
Content correct at time of publication