Leading law firm, Moore Blatch, has urged up to 10,000 businesses, particularly those in property development, to be aware of the time limit for pursuing mis-sold interest rates is running out…

Lawyers from Moore Blatch, which specialises in supporting businesses that were mis-sold interest rate hedging protection, has issued a warning to businesses that the time limit for pursuing a claim against their bank is running out. The firm has stated that the problem particularly affects property developer businesses, as these products were sold to them often alongside their business borrowing.

It has warned that most claims have a six year cut-off, and as mis-selling by banks and other financial firms peaked in 2008/ 2009, then the time to make a claim is running out.

According to the FCA, around 10,332 cases are still awaiting resolution with the FCA review scheme, which was set up to identify and resolve cases of mis-sold hedging products.  

Where many businesses could be owed thousands, and in some cases, millions of pounds for being mis-sold products that promised to protect against interest rate movements alongside their borrowing, ranging from conventional loans through to hire purchase agreements, it is important these businesses make their claims in time.

Commenting on the warning, Rob Evans, Partner and Head of Professional Negligence at Moore Blatch, said:  “Whenever we are approached to consider a compensation claim, whether the company falls inside or outside of the review scheme, the first thing we do is identify and protect the potential six year limitation on making a claim. There are ways in which the time limit can be extended if we are instructed in time. 

“However, even where the facts support an extension of the six-year period, any extension will only be for a finite time, so property developers really must act now.  If a business believes that it may have claim to compensation, but is concerned that it may run out of time, they should seek legal advice as soon as possible.”