Want to know more about PPI claim back? To date, banks and other financial institutions have paid out over £12 billion pounds in Payment Protection Insurance that was mis-sold to customers. If you have been paying out for Payment Protection Insurance or PPI and you believe it was mis-sold to you, then you may have a case for compensation. However, any PPI claim refunds cannot pre-date 2005, as this is when the Financial Services Authority or FSA took over responsibility for mis-sold PPI.
PPI was an insurance policy that was sold alongside loans, store cards and credit cards obtained from banks, financial institutions or certain retail outlets. Repayment amounts varied based on the institution selling the PPI, the amount borrowed and the type of finance that was taken out - loan, mortgage or credit or store card.
The policy was supposed to function as a ‘safeguard’ and designed to pay out on some forms of finance over a limited period in the event of an accident, illness or redundancy. However, many institutions sold the PPI policies knowing they were not ‘fit for purpose’. Monthly re-payment premiums were also often extremely expensive too. Before taking out the PPI, potential customers should have been:
The policy was supposed to function as a ‘safeguard’ and designed to pay out on some forms of finance over a limited period in the event of an accident, illness or redundancy. However, many institutions sold the PPI policies knowing they were not ‘fit for purpose’. Monthly re-payment premiums were also often extremely expensive too. Before taking out the PPI, potential customers should have been:
Asked if they wanted it
- Made fully aware of the total cost repayable.
- Specifically informed as to what the insurance did and did not cover.
- Provided with sufficient information to make an informed choice.
Instead, many customers had PPI added to their re-payments either not knowing what it was actually for, completely unknowingly or whilst already being in receipt of a valid and comprehensive insurance policy. If you want to make a PPI claim refund, firstly take a look at whether it was attached to your mortgage, loan or store or credit card. You should see the monthly PPI added to your bank, credit or store card statements.
Contact your financial institution to ask if PPI was added to your finance, or ask them to send copies of your agreement or statements if you do not have them. Some institutions charge for this, some of them don’t = another ruse to extract cash from you! After you have ascertained that you are making monthly PPI re-payments and to instigate the PPI claim back proceedings, write, in the first instance to your financial institution. Explain why you believe you were mis-sold PPI (mis-informed, not informed at all, were not given sufficient information) and ask them to refund the amount that they owe you.
You may be ‘added to the pile’ or initially get fobbed off. However, if you are persistent, then in time, you should get back all the monthly premiums you have paid out, plus any interest. If you are not satisfied with the response/s from your finance institution, then you can complain to the Financial Ombudsman. Please keep and copy any correspondence between yourself and the relevant finance house as evidence.
