mis sold ppi ?
When taking out a loan, credit card, store card or debt products like car finance, you may have been offered or sold Payment Protection Insurance (or PPI) to cover the cost of the repayments in the event of you not being able to cover them if and when your circumstances change.
If you suffer an accident or illness that results in you not being able to work or if you are made redundant, Payment Protection Insurance begins to pay the premiums for a set period of time.
Why can I claim this back?
Over the last few years, PPI has been the subject of criticism and analysis.
The Office of Fair Trading (OFT) and the Financial Services Authority (FSA) are currently investigating the sale of PPI throughout the UK. This is due to cases being raised in the past that have discovered certain policies have shown little or no value for money to the consumer or in the worst cases been provided to individuals that cannot claim for assistance at all! (eg retired or self-employed). The Citizens Advise Bureau conducted an extensive survey that concluded that 85% of individuals making a claim for PPI found their claims rejected!
When taking out a loan or credit card, the profit margins earned by the lender can tend to be relatively small. With PPI, however, the premiums are relatively high and as such companies have been known to make huge profits selling these products. Because of this, organisations have aggressively sold these products to the general market and in many cases, failed to ask the fundamental "needs questions" to ensure the product suits the customer.
How can I submit a claim?
The cost of the PPI to every individual varies, but in some cases, it has been known to reach around 40% of the value of the loan and you may be entitled to claim that back!
Recent regulation changes have meant that individuals can now claim compensation for the premiums spent on PPI. If you wish to submit a claim for compensation, it is vital that you can prove that the policy was "mis-sold to you". This could have occurred in a number of ways:
If you suffer an accident or illness that results in you not being able to work or if you are made redundant, Payment Protection Insurance begins to pay the premiums for a set period of time.
Why can I claim this back?
Over the last few years, PPI has been the subject of criticism and analysis.
The Office of Fair Trading (OFT) and the Financial Services Authority (FSA) are currently investigating the sale of PPI throughout the UK. This is due to cases being raised in the past that have discovered certain policies have shown little or no value for money to the consumer or in the worst cases been provided to individuals that cannot claim for assistance at all! (eg retired or self-employed). The Citizens Advise Bureau conducted an extensive survey that concluded that 85% of individuals making a claim for PPI found their claims rejected!
When taking out a loan or credit card, the profit margins earned by the lender can tend to be relatively small. With PPI, however, the premiums are relatively high and as such companies have been known to make huge profits selling these products. Because of this, organisations have aggressively sold these products to the general market and in many cases, failed to ask the fundamental "needs questions" to ensure the product suits the customer.
How can I submit a claim?
The cost of the PPI to every individual varies, but in some cases, it has been known to reach around 40% of the value of the loan and you may be entitled to claim that back!
Recent regulation changes have meant that individuals can now claim compensation for the premiums spent on PPI. If you wish to submit a claim for compensation, it is vital that you can prove that the policy was "mis-sold to you". This could have occurred in a number of ways:
- The terms of and conditions of the insurance were not explained at point of sale.
- You were not asked at point of sale whether you already had similar cover in place through another organisation.
- You may have been unaware of exclusions on your policy preventing you from claiming.
- Were you out of work or unemployed when the policy was sold to you?
- Making a one-off payment for PPI, paying a loan off early and not getting a pro-rata refund.
- Being a victim of a pressurised sales approach forcing you to buy the policy. Were you told that you were more likely to have your loan accepted if you took the PPI?
