Payment protection insurance
Consumers who buy Payment Protection Insurance (PPI) are being overcharged by ?1.4bn a year, according to the Competition Commission.
It said the overcharging was due to a lack of competition because PPI was often sold at the same time as the loans it was supposed to protect.
The Competition Commission suggested that firms may be banned from selling PPI policies to customers when they take out loans.
It may also impose temporary price limits on the policies, until competition brings prices down.
The competition enquiry was triggered after a so-called “supercomplaint” made by Citizens Advice in 2005.