Mis-sold Payment Protection Insurance to thousands of bank customers has been one of the biggest financial scandals of recent years. For years banks have been selling an insurance policy known as Payment Protection Insurance. Not a long time ago it turned out that high street banks may have deliberately mislead their customers. If you’re one of those people, what you are interested in is whether you have been mis-sold PPI, you qualify for PPI compensation, and how to claim it.
PPI (or payment protection insurance) is an insurance policy designed to cover your debt (loans, credit cards, mortgages, etc.) repayments for a year in the event of an accident, sickness or unemployment, basically if you cannot work. The idea of PPI is not wrong, the way it has been sold to customers is wrong.
Most people have taken out some form of credit at one point or another, whether it be a loan, credit card, car finance, mortgage or other type of finance. If you have any type of credit now, or you have had a credit before, chances are that you also had PPI and it is also likely that you may have been mis-sold the PPI policy.
The first thing you should do is to check the paperwork (especially repayment statements) which was sent to you at the time you took out your loan, credit card, mortgage or other type of debt. Can you see a PPI charge somewhere alongside other charges? It may be called loan or credit card protection or accident, sickness and unemployment cover.
The next step is to contact your bank, lender or finance provider and ask whether you have PPI or not. If the answer is yes, then you should proceed with making sure it has been mis-sold to you.
PPI has been sold very aggressively in many cases on credit cards, personal loans and mortgages. It has been offered as obligatory with some banks or brokers telling customers that no PPI means no loan. Some customers have been quoted PPI-inclusive monthly repayments, while they should have been offered a choice of two separate payments.
PPI policies may have been mis-sold to you if they are not appropriate for your needs. For example:
• Payment Protection Insurance should not be sold to people younger than 18 years old and older than 65 years old. If you’re not between these ages, you may have been mis-sold PPI.
• Payment Protection Insurance does not cover people employed part-time. You may have been mis-sold PPI , if you worked less than 16 hours a week when the insurance was sold to you.
If you have had any form of PPI within the past six years and it has expired, or you still have a PPI policy running, you can claim. The deadline to claim is 29th August 2019 so make sure you contact the appropriate companies before that.
The easiest and most hassle-free way is to contact one of the many no-win, no-fee claims companies who can have it arranged for you. They will take a slice of whatever compensation you are awarded but if you don’t feel comfortable doing it yourself – that’s the option. If you believe you were mis-sold PPI, you must submit your complaint to your bank/lender by this 29th Aug 2019.
The information on this page is designed to help you understand more and make more informed choices. We do not receive any commissions, instead we are funded from companies that we advertise on our website.