PPI Claims Explained Simply
Posted on Sunday, January 22nd, 2012
Reports show that more than 1.5 million customers have made complaints about being mis-sold PPI or payment protection insurance.
Complaints cover a variety of subjects including being sold coverage that the consumer would never qualify for. Some complainants didn’t realize this was the case until they attempted to file PPI claims against the policy. It was only then that they were informed that no benefits would be paid for reasons such as a pre-existing medical condition or because they were self-employed. These conditions were in place at the time of purchase but were not explained to the consumer.
The High Court and the Office of Fair Trading have gotten very involved in PPI and are considering actions that could force banks to pay customers back for moneys lost if they truly were mis-sold.
The biggest and most serious complaint is that consumers were told by lenders that they were required to take out PPI when applying for a mortgage, loan or credit card. PPI is always optional. It is never mandatory and should never be made a condition of loan approval.
If you believe that you were mis-sold payment protection insurance, current laws allow you to file a claim for PPI compensation going back as far as 1 January, 2001.