Banks have been forced to hand back £1.9billion to customers who were wrongly sold Payment Protection Insurance as part of a 'loan protection racket'. However, consumer groups have accused the finance giants of dragging their feet on refunds which, eventually, could top £8billion. The Financial Ombudsman Service is receiving a staggering 1,000 complaints a day about the mis-selling of PPI. Consumers have a right to take a claim for a refund to the watchdog where they feel they have been unfairly fobbed off by their bank. In total, the ombudsman service has received over a third of a million PPI complaints, with the majority related to policies sold by banks alongside credit cards and loans. The watchdog upholds around three out of four cases in the consumer’s favour, with the average pay-out running at £2,750. The failure to offer speedy refunds has allowed a raft of hard-sell claims management firms, who are looking to cash in on the scandal, to flourish. These firms are spending millions of pounds in advertising to offer to pursue refunds. This involves bombarding the nation with TV advertising and recorded message telephone calls to both landline and mobile phones.