Much has been made by the press in the past twelve months about high pressure sales tactics adopted by banks in respect of products designed to hedge against the risk of interest rate increases.  Such products have resulted in borrowers being liable for increased payments following the plummet of interest rates in 2008 - 2009.

On 21 December 2012 His Honour Judge Waksman, sitting as a High Court Judge in the Manchester Mercantile Court handed down his judgment on the case of Green & Rowley -v- Royal Bank of Scotland Plc [2012] ("Green & Rowley"). It is clear from his judgment that the decision reached was mainly based on what was discussed at the meeting between the bank and its customers to consider the various hedging products available.

Mis-sold swaps update - January 2013.pdf