Finally the bank surrendered and has accepted its defeat in the PPI lawsuit, which was filed for giving compensation to the people who have lost their money.

Reports now suggested that people who got themselves faulty insurance products in last few years would be entitled for huge compensation.

This Payment Protection Scheme is used to insure loan, credit card bill amounts, work security, and unemployment.

The market analysts have reported that the main problem with PPI is the way it was sold to the people and as the profits are huge many companies got enrolled in this scheme.

FSA has tried hard to stop this menace and to stop this PPI from the market but the chain has grown too big to stop this trouble.

FSA have also stopped providers from selling single premium PPI. Now, there has been a new rule which does not allow the selling of PPI.

Commenting on the announcement, Stefan Maryniak, personal finance expert at uSwitch. com, said: "By retreating from the battle, the banks have admitted they were wrong in this mis-selling scandal. They are now going to have to suffer the consequences of their actions, with compensation costs rising to the billions".