Finance glossary
Mis-selling
Also known as: Mis-sold, Missold
In simple terms
Mis-selling is when a financial product is sold to you in a misleading way — for example, you were given wrong or incomplete information, or sold something unsuitable for your needs.
On this page
What does mis-selling mean?
Mis-selling describes a sale that was misleading or unsuitable. It can mean you were not told about important risks, fees or exclusions, you were pressured into buying, or you were sold a product that did not meet your needs or circumstances.
There is no single law called “mis-selling”. Instead it is judged against the regulator’s rules — such as giving clear, fair and not misleading information — and general consumer law, so whether something was mis-sold depends on the facts.
How mis-selling works
If you think you were mis-sold, the route is the same as any complaint: raise it with the firm first, setting out what went wrong and what you want put right. The firm has up to eight weeks to respond.
If you are unhappy with the firm’s answer, you can take the complaint to the Financial Ombudsman Service. Where a complaint is upheld, the firm may be told to pay redress — putting you back in the position you would have been in had the mis-selling not happened.
How could this affect me?
Recognising mis-selling matters because you may be entitled to your money back or other compensation — as seen in large past cases such as payment protection insurance (PPI).
Keep any paperwork, illustrations and notes of what you were told, as evidence helps. You do not need a claims company to complain; you can do it yourself for free and escalate to the Ombudsman if needed.
Things to watch out for
- There is no single “mis-selling” law — a complaint is judged on the facts against the rules that applied.
- You must complain to the firm first before the Ombudsman will look at it.
- Time limits apply — generally six years from the sale, or three years from when you realised there was a problem.
- You do not need to pay a claims management company to bring a mis-selling complaint.
Know your rights
- Firms must give you information that is clear, fair and not misleading, and (where advised) recommend suitable products, under FCA rules.
- You can complain to the firm and escalate to the Financial Ombudsman Service free of charge.
- If your complaint is upheld, you may be entitled to redress to put you back in the position you would have been in.
General information, not personal advice
Consumer Credit is an independent information service. We do not provide regulated financial advice or sell financial products. For advice on your own situation, speak to an appropriately authorised firm or a free service such as MoneyHelper. About Consumer Credit.
Sources
We checked this page against these official and authoritative sources.
- FCA, DISP — dispute resolution: complaints (opens in a new tab). Accessed 22 Aug 2026.
- MoneyHelper, How to complain about a financial product or service (opens in a new tab). Accessed 22 Aug 2026.