Asking the question about PPI

by Kaylie Phelps

Many of us have heard of Payment Protection Insurance (PPI), it is, after all, the largest scandal to have happened in the history of the UK financial services industry. Not so many of us know the details.

A quick recap: PPI is a type of insurance that covers the repayments for 12-24 months on a loan, mortgage or other credit agreement if the customer is loses their job or is not able to make repayments because of sickness or injury. After a large scale investigation by the Financial Services Authority (now called the Financial Conduct Authority), it was found that many policies were improperly sold to customers and that many regulations were not met.

This discovery lead to the PPI scandal coming to light and the matter proceeding to the highest courts, where it was ruled that anyone who was mis-sold PPI should be able to claim their money back – the premiums paid plus compensation. To date, thousands of people have made claims to get back their money, and many more are set to do so. The banks and other lenders have so far paid out and put aside in excess of £20billion to make repayments, though many expect the final figure to exceed this by far.

The question: Have I got PPI?

It is important to know that many people have or have had PPI and do not even know so. Part of the scandal was the unknown inclusion of the PPI on to customer’s borrowings without their knowledge or consent. Therefore clearly – if you were not aware that you had PPI on your borrowing then its most probable that you were mis-sold the policy.

A good place to start is by checking all your loan, mortgage and credit agreements over the last decade. Check old paperwork or if you no longer have it, check your credit file which will list all your previous credit agreements. PPI also goes by the name Loan Protection Cover and called ASU (Accident Sickness and Unemployment) cover.

There are other types of mis-selling, so even if you know you knowingly purchased PPI, you may have been sold it in a manner not within regulations. For example, at the point of sale, you should have been given a full explanation of your right to shop around for the best PPI deal. In a large number of cases this was not followed and the customer was led to believe they had to take the bank’s own policy. If this happened to you, you are also entitled to claim back the fees on your PPI policy.

Who Can Make PPI Claims?

Anyone who thinks, with reasonable evidence, that they were mis-sold a policy can make a PPI claim and get back the fees on mis-sold policies, plus compensation.

To make your claim, you can go to your bank and apply for a PPI refund directly through their complaints department and go from there. Alternatively to make a claim for your mis-sold PPI you can use the services of a claims company who would sort the matter out for you. Be sure to use an experienced and reliable company such as at http://www.freeppicalculator.co.uk; experts who can take all the hassle out of the claims procedure for you.

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Ever asked yourself – Have I got PPI?

by Kaylie Phelps

Are you one of those people who have ever asked themselves – have I got PPI? Any sensible person would of course, knowing that thousands of pounds could be owing to them from the banks. Read on to find out why…

The Financial Services Authority (FSA) was first led to investigate payment protection insurance (PPI) selling tactics in 2005, after receiving a number of complaints from customers. Their investigation showed that tactics which went against regulations were being used on a huge scale to sell PPI policies. These findings led to a tightening of regulations to give consumers better protection and a number of lenders being fined. The investigation also led to customers who had been mis-sold PPI gaining the right to make a PPI reclaim case and get back all charges associated with the policy. This was ruled by the UK High Court.

For these reasons therefore, in the past few years, the PPI scandal has been big news. PPI reclaims cases are still being launched in their thousands by customers who were mis-sold payment protection insurance, and combined payouts so far have reached well into the billions. Nonetheless, many eligible people are yet to make a claim, as they don’t know they ever had or still have PPI.

With the average payout standing in the region of £2750, if you believe you have been mis-sold PPI it is well worth getting the process started as soon as possible.

What is Mis-Selling?

Anybody who fell victim to mis-selling of PPI is entitled to make a PPI reclaim case. But what is mis-selling? A number of different tactics were used which violated consumer finance regulations. One of the most common was to give customers the impression that they had no choice but to take out PPI from the lender directly. In fact, they had a right to shop around for a better deal and should have been made aware of this freedom. Other people were sold policies that were completely useless to them (as they didn’t meet their requirements for their particular circumstances), or weren’t told they were being given PPI at all. Where any of these tactics were used, customers have the right to claim back the charges on their policy.

The Claims Process

Although you can claim by yourself, a lot of people find that it is easiest to let a professional claims company handle their PPI reclaim process. Our team at HaveIgotPPI.org.uk are friendly and more importantly, are experienced in claim handling, and so can take the effort out of your hands and make the process simple and stress-free. Thanks to our no win no fee* offer, you don’t need to worry about being left out of pocket should your claim not end successfully. To find out more about how we can help you with your claim, get in touch with our friendly team.

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