The raging PPI scam does not seem to lessen in intensity with more and more people making PPI claims. Even though £13bn have already been paid out by the banks, there are billions still set aside as there are so many people who have yet to claim their money back. In the first instance, people need to establish if they have or ever had a PPI policy. This is because they might have taken the policy without being aware of its existence or been mis-sold the policy in the first place when the insurance was not suitable for their needs or requirements.
Recognising the Policy for PPI Claims
You can check the credit card or mortgage payments which will reveal any additional payments that you have made for the PPI. In case of a personal loan, this is not possible as the payments made will not be obviously seen. If you have doubts regarding the payments, you can contact the loan provider.
Factors in Mis-selling
You must mull over the below factors to recognize your case.
- The most obvious and clear cut case of mis-selling is the instance where a customer is sold insurance that he could never make a claim on due to the terms and conditions of the policy and that customer’s circumstances.
- If at the time of taking the policy, you were not employed which may be due to many reasons including unemployment, retirement or medical condition: your insurance claim will not be valid.
Types of Premium
If the policy you had taken was a single premium type in which the entire loan cost was paid up front with the interest rate of the money borrowed for the policy being similar to that of the loan, you should in all probability get a refund by cancelling the policy. You are eligible for a PPI refund if the loan was cancelled or repaid early, but the PPI was not cancelled.
Other reasons for which you can get PPI help and enjoy compensation include the situation where you were convinced by the provider that the insurance was compulsory and if the total cost was not explained precisely to you.
If the refund offered directly from the bank is very low when compared to the actual value as per a possible PPI calculator, you can still pursue the matter and fight for what you think you deserve with the help of the Financial Ombudsman Service or a claims management company such as the PPIClaimsAdviceLine.