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Archive for tag: PPI Queries

PPI Questions - Part 1

There are so many questions about PPI that we have split some these questions over 2 parts; in this first part, we look at the basics of PPI.

1.  What is PPI?

PPI stands for payment protection insurance and is a generic name for insurance policies that promise to pay your repayments should you be unable to make them due to illness, redundancy, unemployment etc. Different banks, building societies and lenders called their own brands of PPI by different names so you it may not always be immediately obvious on any paperwork.

2.  How do I check for PPI?

This is relatively simple but don't forget, you might not see PPI boldly written on paperwork and bank statements - banks and building societies knew that they were sailing close to the wind when it came to some of the selling practices associated with PPI and so you may find it buried or hidden within the small print.

**Check paperwork and statements for anything such as payment protection insurance or loan protection cover, card protection cover **

3.  How do I prove I was mis-sold PPI?

Here at Payment Protection Scotland, we can help you with this but here is a guide to some of the most common mis-selling reasons… 

  • You were under 18 or over 65 when the PPI was sold to you - the insurance does cover people outside of these age ranges
  • You worked less than 16 hours a week when the PPI was sold to you - it does not cover part-time workers
  • You were employed on a temporary or contract basis when the PPI was sold to you - again PPI policies do not cover temporary or contract workers
  • You were self-employed when the PPI was sold to you
  • You had an existing illness when the PPI was sold to you - in most likelihood, you would not have been covered
  • You were not informed that the PPI policy would not cover conditions such as stress and backache; neither did many of these policies cover mental health illnesses
  • You were not told about the cost of the insurance or, as happened in many cases, you were not told you were buying it at all!
  • You were told that the PPI was necessary for you to get the loan - it is entirely optional!
  • You applied for a loan online where the box for PPI was automatically ticked (this is no longer allowed after a change in rules from 2007 onwards)

Read Part 2 for yet more information on how to claim PPI!