Some news from the Sunday Times, which recently covered clients of Vedanta Hedging. Three doctors from the Pinn Medical Centre in Pinner, London are suing Barclays Bank for £4m relating to mis-sold interest rate swaps back in 2007 which ended up costing the trio millions.
Under the original agreement, the derivative was supposed to protect the practice against any rise in interest rates however, due to the financial crash of 2008, the cost of borrowing was dramatically cut, subjecting the doctors to punishing financial charges. Though the bank finally accepted, via the FCA-approved compensation scheme, that it had mis-sold the swap, it went on to state that it believed the doctors would have taken the product regardless and for that reason, has so far refused to offer redress to them.
As ever, Vedanta Hedging aim to assist in this dispute to help provide transparency, technical and regulatory expertise.
To read more about this case, please click here.