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Archive for tag: PPI

4 Common Questions About PPI?

Payment protection insurance (PPI) is a product that most people will have heard of. The issues surrounding PPI were first raised in the late 1990s. two decades on, we are nearing the end of the PPI mis-selling scandal with the PPI dealing August 2019 less than a year away.

Questions

But people still have many questions.

1. How do you know if you were mis-sold PPI? And why do you have to 'prove' it?

In order to make a claim for PPI compensation, you have to prove that;

a) you have the policy on your accountand

b) you were mis-sold it.

Many customers find this unfair and think that banks should simply refund everybody that they know they sold PPI to.

However, consumer law still has to be followed and thus, the customer must show the bank that they were mis-sold the policy.

There are many reasons why PPI may have been mis-sold to you, such as being unaware you had 'bought' it, to being sold PPI when the bank knew that your personal circumstances meant the policy would not have covered you.

The banks also now say that even though they know who they sold may have sold PPI to, they cannot be sure that it was mis-sold to everyone. This is why you need to make a claim.

2.   How much can you claim back?

In the very early days of the compensation process, banks made offers to customers. Fortunately, the customers were advised to refuse these and to ask foralltheir money back.

This is why it can take a few weeks to claim your money back as the right level of compensation must be calculated. Not only will you get back all your premiums, but interest, fees and in some cases, commission too.

3. Why does PPI compensation vary?

Compensation is about making sure that the customer isput back in a financial position that they would have been in had they not been sold PPI. This is why the amount people receive varies from one case to another.

4. What else do I need to know about claiming PPI compensation before August 2019?

You can make a claim for compensation yourself, by contacting your bank and giving them the relevant detail.

Some people prefer to seek help with this and if this is the case, you can use the services of a professional claim management company. Look for one that has a proven track record in helping people claim their cash back, and who are also successful in doing so.

Payment Protection Scotland is a reputable claim management company who will help you get every penny of your money back. Call us to find out more.

Think You Know Everything About Claiming Back PPI?

Then take our quiz and see how you do!

Everyone has a PPI claim… or do they?

Not true! Claiming compensation for mis-sold payment protection insurance (PPI) is not automaticand just because you have a policy does not mean that you are automatically entitled to your money back. You will need to show that you were mis-sold it.

Puzzle

If you were off work with a bad back, the PPI policy would NOT have covered you

True! There are many exclusions under the terms and conditions of PPI, some of which are better known than others but not at the time that people bought into the policy. In terms of medical exclusions, a 'bad back' were not seen as a reason by which the policyholder could claim on the policy. In terms of more serious spinal injury, you may have been able to.

If you had depression or another mental illness that prevented you from working, you would be able to claim on your PPI policy?

Not true! Again, in the very small print which was easily missed was that some PPI policies did not cover mental health issues or illness. Many people are aware of the debilitating effect that mental health issues have on people and despite all the recent help and raising awareness, the PPI policy was not conducive to helping people in this way.

If it was a joint loan, it was a joint PPI policy?

Again, not true! The PPI policy was usually assigned to one person. If you wanted both of you covered you would pay for an insurance policy each. Many people were not made aware of this at the time of purchase and so when they thought they would be covered by the policy, they found that their claim was invalid.

PPI has a low payout rate?

True! Investigations found that PPI policies paid out in only 15% of cases and when they did, the process was slow and laborious, another criticism levied at the banks and the PPI policies they sold.

Payment Protection Scotland is a leading claim management company

True. We are incredibly popular as a claim management company and successful too. We welcome enquiries from everybody. If you would like more advice on your potential claim, as well as more information on how we can help you get your money back, all you need to do is call us. There is no obligation either!

The PPI Saga – Like a Plot from a Novel!

Everyone loves a good page-turner, a book that when you have finished reading it, leaves you sad that you will no longer have this wonderful world to sink into.

Novel

Many people feel like this about the PPI saga, although not for the same reasons. Banks and lenders can't wait to see the back of the whole embarrassing episode, and the consumer is also apathetic about PPI, the marketing texts, phone calls and emails they have been subject too.

As much as we may deride these PPI adverts on TV, radio and online, they carry an important message:

These adverts are STILL appearing because of all the consumers with a claim for PPI compensation, only 40% have made a claim. So why are the remaining 60% no claiming their cash back?

Consumers not understanding HOW or WHY the PPI mis-selling saga affects them

Payment protection insurance (PPI) was sold to consumers as the product they needed or must-have in order to protect repayments on the loan or credit card.

On the face of it, this sounds like a great idea. However, the problems start when you consider that the insurance product was not suitable for everyone - but was sold nevertheless.

For example, if you had a pre-existing medical condition, this was unlikely to have been covered by the PPI policy butyou were probably not told that.

You were also probably not told that there wereother significant exclusions.Being self-employed was one of them - if the policy did cover you, you were unlikely to have agreed to the policy if you knew the terms and conditions of making a claim.

There were also things likethe level of commission paid on the sale of a PPI policy not being disclosed, and the fact that the PPI policy was added to your account automatically or without your knowledge.

The important bit…

The point is simple - no one, not even a bank, can foist a product or insurance policy on you without your express consent. They may insist you have an insurance policy to cover repayments in the event you cannot continue to make them, but they cannot force you to buy their own policy over and above anyone else's.

Consumers unsure how to claim

Although we are told time and time again that claiming PPI compensation is simple and relatively straightforward, many consumers are still unsure or not confident to deal with what they see as a mountain of paperwork.

As a claim management company specialising in PPI compensation claims, we can help. We do charge a fee for our professional service which you can find out more about when you call us.

Start your PPI compensation claim with Payment Protection Scotland today.

Unsure About HOW to Claim PPI Compensation?

We have all the information that you need! Browse through our list of what to do (and what to avoid) in order to claim your money back…

Unsure

DO check out how your bank or lender is accepting PPI claims

Banks and lenders have been told by the banking regulator to make claiming PPI as easy and as simple as possible. This means making PPI compensation claim forms and information on how to make a claim readily available.

Most banks and lenders have these on their website. In most cases, you don't need to phone them and with some lenders, you can log your claim online too.

DO turn to the right people for help

The internet is a wonderful place BUT, it can be full of misinformation and wrong turns. This is why if you are unsure of any aspect of advice or help, you turn to the right people.

Claim management companies are, in the main, professional, expert and reputable companies who specialise in all kinds of compensation claims. Choose one that has a long and successful track record with PPI claims, like PPI Scotland.

DO make a claim for PPI compensation before the 2019 deadline

If you think you have been mis-sold PPI, don't let the bank get away with it! Make your claim. You could be entitled to thousands of pounds in premiums, interests and any costs or fees incurred on your account as a result of PPI being added to it. And with the deadline only months away, you need to start your claim now.

DON'T let the banks get away with it

Banks and lenders knew that PPI was not a policy that was suitable for the large majority of customers to whom they sold it. For example, banks knew when people were self-employed but this didn't stop them selling a policy that was not really suitable for self-employed people.

DO claim, even if you agreed to PPI

Many people assume that because they agreed to PPI, they don't really have a claim. The point is, that many banks and lenders didn't give you the full facts about the policy and so what you agreed to, is not the policy that you were paying for.

For example, if you knew that the policy did not cover your existing medical condition, would you have still bought it? The likely answer is no, as the one thing that could stop you from working and therefore making repayments on your loan, would not have been covered by the policy.

DO call Payment Protection Scotland

We have a long, successful history of helping people claim their money back. From a few hundred pounds to thousands of pounds, there is probably PPI compensation with your name on it!

PPI Mis-Selling Situations

Q. I have PPI on my credit card, which I agreed to buy as I thought it was a good policy to have. I am unsure if I have a claim for PPI compensation. However, at the time I took out the card, I was self-employed although I now operate as a limited company. Do I still have a valid claim?

Chalkboard

Payment protection insurance (PPI) was mis-sold in so many different ways that, even though there are long lists of proven mis-selling reasons, on occasions, it does come down to individual cases and circumstances.

In this case, the successful conclusion to the case would lay in the fact of whether the bank knew you were self-employed at the time they sold you PPI on your credit card. In most cases, the bank or lender would have known, as they would have performed checks to satisfy themselves that you could make repayments on the credit card.

We would need to look closer into the case, as the likelihood is that you would be entitled to PPI compensation and we would be happy to help!

Update: you may also want to consider looking at how much commission was paid to the lender who arranged the policy too. There are cases where more than 50% of the cost of the PPI policy was paid as fees to the broker.

Q. I have a bank account that is permanently overdrawn and I have since discovered that some of the 'fines' I paid were down to the bank taking out PPI premiums. I have read that I may be able to claim back these late fees and fines too - is this a possibility?

This has been in the headlines recently as a claim management company brought it to the attention of the authorities that banks were still picking and choosing which aspects they compensate customers for and which they don't, costs and fees being one of them.

The Financial Conduct Authority and the Financial Ombudsman Service have made it clear that banks and lendersmust compensate customers back to the financial position they would have been in if PPI had not been added to their accounts.

Following this line of thought would suggest that you do have a case for claiming these fees back as part of your PPI compensation claim, however, you would need to discuss this with us in full - why not call us?

Update: banks and lenders are being told they need to take another look at the costs and fees incurred when they added PPI to customer accounts and take the necessary compensatory action.

Q. I have no idea if I was mis-sold PPI! The whole process was a complete blur when it came to the loan that I took out with the bank and I admit, I just signed what was put in front of me…

You are not the only customer who feels this way!

The mis-selling of PPI highlighted that the process of how additional products were sold alongside loans etc. People often felt confused into signing, so much so that the sale of PPI to customers became part of the process, without question. Representatives were no longer pointing out it was a separate product and that it was not compulsory.

The fact you have no idea that you were being sold it, means it was mis-sold and you could have a valid claim for PPI compensation!

The PPI Debacle – Has Anything Really Changed?

The massive mis-selling of payment protection insurance (PPI) saw the rise of a debate regarding how banks and lenders sell to customers. 'Routine' sales were questioned and as a result, changes were made to safe guard the customer…

Change

Emotional vs. rational decisions

Purchases of all kinds are an emotional decision. You buy food, for example, because you need it to survive, without it, you go hungry.

Customers applying for loans, credit cards, mortgage etc. as financial products are making an emotional decision. In other words, they saw what they were buying or investing in - the home improvements, the new car etc. - and not whether the product they were being sold was the right one or not.

Taking advantage

Banks and lenders, like all other businesses, knew this and take advantage of the situation, offering various additional products that would 'enhance' the customer's experience. With financial products, for example, they would often ask how would you cover repayments if you were no longer working?

They would sow a seed of doubt, sound a warning bell that made you question how you would pay the loan in such a circumstance. Even if you had other insurance policies, the bank or lender would go on to offer you a 'magic' product that for a few extra pounds a month, would make sure that you would not end up in financial problems. You were hooked and you bought the product.

Advised sales - setting out the reasons why

And so, the lines between suggesting a product and an advised sale were blurred. If you take out a loan with a bank,you do not need to take on any other additional product.

It may be a good ideaif the policy is the right one for you.

It may be a wise and prudent moveif you know your job is looking a little shaky in the future etc.

It would seem a responsible thing to do BUT, you still do not have to buy the banks' own product.

Like car insurance, you CAN shop around and get the right deal for your current circumstances.

If, however, the bank insists that as part of the package that their own product is the one you must have, then they must clearly tell you why - and not just verbally. As anadvised sale, they must set this out in writing and clearly show the reasons why, as part of this package, their policy is not the best, butthe right one for you at this time.

Breathing space

Consumer law is clear - you have 14 days from signing the agreement to change your mind. Customers also thought that this law did not apply to financial products, but it does.

But now, the Financial Conduct Authority, along with various consumer groups have worked to introduce a breathing space within which products in addition to the main product cannot be offered.

Customers are to begiven time and spaceto consider the main product before they are offered anything else. Customers must be given ALL the information to make an informed decision. And they are not be badgered or hoodwinked.

Practices have changed BUT, if you think you have a claim for PPI compensation act now by calling Payment Protection Scotland.

PPI - What is all the fuss about?

The mis-selling of PPI is a saga that has been running for many years now, so much so that you may be slightly bored or even irritated by the constant advertising relating to PPI compensation claims.

But why has the saga rumbled on for so long? And, with the PPI deadline in sight, what could happen between now and August 2019?

Woman -questionmarks

A big scandal

The PPI saga is the biggest scandal to have rocked the British banking industry -EVER! It started back in the mid-1990s and is still with us today. But as 2016 drew to a close, the end was firmly in sight with the announcement of a PPi deadline August 2019.

How it all started

Concerns were raised by customers, as well as consumer groups and organisation that monitor competition (or lack of) in certain sectors and industries.

Banks were selling an expensive product - payment protection insurance (PPI) added a significant amount to someone's loan or credit card. But it wasn't just the cost that was the problem.

The length of time it took to make a claim on PPI was also a long and complicated process. To top it all off, research has found that only 15% of claims made on PPI policies were successful. But by the time people got their money, almost 12 months could have passed.

And there were other criticisms of the PPI policy too. It was felt that the way it was being sold was contravening rules on fair selling. Some customers were told they had to buy it, others were given the impression that if they didn't, they wouldn't get the loan they needed.

There were many arguments and counter-arguments but, in the end, the common sense of legal rights prevailed - PPI had been mis-sold and yes, customers were entitled to their money back.

This means people were entitled to all their premiums, along with interest at 8%, commission (conditions apply - ask the PPI Scotland team) and any costs or fees incurred by PPI being added to the account or accounts.

Is the end for PPI compensation claims in sight?

Yes, it is. The cutoff date for PPI compensation claims is August 2019. And you need to make a decision NOW about whether you make a claim or not.

The banks were not keen on having what they see as yet another 3 years of claim after claim after claim, but consumer organisations point out that at this moment in time, only 40% of people with a claim for PPI compensation have made their case for compensation.

Are you entitled to compensation? Find out TODAY by calling Payment Protection Scotland.

Your Easy ‘How to’ Guide for Claiming PPI

The FCA is urging anyone with a PPI claim to make a decision - and that means deciding whether to claim your money back or not. This is our quick, no-nonsense 5-minute guide on how to claim compensation for mis-sold payment protection insurance (PPI) before the August 2019 PPI deadline.

Take -it -easy

Step 1 - Finding out if you have PPI

If you are super-organised when it comes to paperwork and documentation, then this step shouldn't be much trouble. If you have lost paperwork or are unsure what it is you are looking for, then read on.

Knowing a little bit about the history ofhowPPI was mis-sold will help you understand what it is you are looking for.

PPI was sold alongside loans, mortgages, store cards, credit cards personal or unsecured loans etc. Sometimes, customers were told they had to buy but in other cases, it was either part and parcel of the loan or was added after you had taken out the loan. However, it was added to your account(s), if you were told about it, you were probably told what a great product it was.

PPI was sold on the promise that in the event you were not able to make repayments on your loan, the policy would do it for you. This was as a result of a loss of income, such as unemployment or redundancy.

Look for an insurance product that promises to make repayments in the event that you couldn't.

Step 2 - Call Payment Protection Scotland

You don't need to use a specialist claim management company to claim your money back, but many people feel it is the right move for them.

As a leading and reputable company, we have helped thousands of customers to successfully claim PPI compensation. We check that you have a claim and we also check any offers or settlements made by your bank or lender are correct.

The decision about whether you take their offer or not is entirely yours.

Step 3 - If your claim is refuted

Some banks will not honour your claim for PPI compensation. They may say, for example, that it is the most suitable product for you.

You don't have to take their word for it. Either independently or through Payment Protection Scotland, you can log your complaint for PPI compensation with the Financial Ombudsman.

To find out more about how we can help you, call Payment Protection Scotland today. With a 'straightforward' claim, you could be enjoying a windfall within weeks!

Do I Have a PPI Compensation Claim?

With so many questions about making a claim for PPI compensation, you will be wondering where to the right answers. As always, the best place to turn is to a reputable source of information. With many years of experience and specialising in PPI compensation claims, we are the right people to come to for information and help.

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Go it alone Vs. use a PPI claim management company - which is best?

In all honesty, only you can answer that question but many people who used a reputable claim management company found the whole process stress and hassle-free.

So what am I looking for in a claim management company?

There are many things to look for:

  • No win, no fee -this means that if they lose your case, you owe them nothing. You only pay a fee if the claim is successful.
  • Transparency -fee structures and so on should be made abundantly clear before you sign up for their service. It is important to know how much it could cost you.
  • Success rate -clearly, a high success rate when it comes to successful PPI compensation claims speaks volumes. It means the company objectively assess each case before they lodge the claim with the bank or lender.
  • Knowledgeable -from a regularly updated blog or news section to a knowledgeable person at the end of the phone, although some PPI claims are not complex, working out how much is owed to you can be.
  • After-service- once you have an offer of PPI compensation from your bank or lender, it is your choice whether you accept it or not. Look for a claim management company who will talk you through the offer, and whether it has been calculated correctly.

I thought all claim management companies were bad and to be avoided at all costs?

No, not all companies of this ilk are out to make a quick profit from a shoddy service. In fact, it was pressure and publicity from a claim management company that highlighted thousands of people had not received the right amount of compensation.

Lloyds Banking Group had to contact 2,500 customers who had been underpaid compensation as costs and fees relating to PPI had not been included in their original settlement. If it wasn't for the claim management company, this may still have lain undiscovered.

But it costs the earth to have them work on a PPI compensation claim or does it?

Not necessarily. Most reputable companies will have a flat fee, handy for calculating how much you owe them, especially if you have multiple claims. And, reputable companies don't charge an upfront fee.

Payment Protection Scotland is one of those respected and highly reputable claim management companies; call us now!

9 Things You Need To Know When Making A Claim For PPI Compensation

#1 You need to be sure you have PPI on the account

Look for an insurance policy that promises to make repayments on the loan etc. if you are unable to do so. It may go on to say that this could be because you are unable to work due to ill-health or losing your job.

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#2 It might not be called PPI

Payment protection insurance or PPI is a generic name. Sometimes, banks and lenders renamed it by branding it so it was part of their products. Look for an insurance product that promises benefits as listed in the first point - if it says this, it is PPI.

#3 Check with your bank or lender how claims are to be made

You can make a claim for PPI compensation yourself. If you decide to do this, check with the bank or lender what the process of claiming your money back actually is. You can find this out by checking their website or giving them a call. It may be that you complete and submit a form.

#4 Some companies offer no win, no fee services

PPI Scotland is a reputable claim management company who offer their services on a no win, no fee basis. This means they can make a claim on your behalf and you only pay them if they are successful.

#5 A really good claim management company will not hide their fees

Like other professions, the claim management profession has mainly great companies operating but there are some who offer a poor service in exchange for very expensive fees. If the company are not too clear or very forthcoming on how much they charge for their services, leave well alone.

#6 You could claim commission back even if PPI was not mis-sold to you

If you paid more than 50% of the cost of the loan in PPI and were not aware, you could claim this money back even if the PPI policy was not mis-sold. This could affect thousands customers.

#7 Check all accounts… and check them again

From personal and unsecured loans to mortgages and credit cards, as well as store cards, you will be amazed where PPI lurks. You will also be amazed that you have PPI as you may not knowingly have bought it.

#8 You are part of a large group of customers yet to make a claim for PPI compensation

Although the compensation bill stands at £24 billion, and banks are saying that they won't need to add more money to their compensation pots, over half of the customers who have a PPI claim are yet to do so. Are you one of them?

#9 You must claim before the PPI deadline August 2019

Time is ticking. What are you waiting for? Contact the team at Payment Protection Scotland today.