Lloyds fined $242 million for PPI complaints failings

LONDON (REUTERS) - Lloyds Banking Group has been fined 117 million pounds (S$ 240 million) for failings in its handling of complaints about the mis-selling of loan insurance between March 2012 and May 2013.

The state-backed lender said that it will reduce bonuses paid to staff by 30 million pounds in 2015 in response to the fine. It apologised to customers who had been affected.

Lloyds has already set aside 12 billion pounds to compensate customers mis-sold payment protection insurance (PPI) policies.