How to Claim Back Mis Sold Payment Protection Insurance (Ppi)

If you have taken out a loan with any high street bank in the UK, taken out a hire purchase agreement or even opened a credit card, then it is likely that you also took out payment protection insurance with it. If this is the case then you may be entitled to compensation.

Steps

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    Check whether you have a claim,
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    Did the sales person go through the process fully with you? Did they follow the procedures below?
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    They should have:
    • Explained the full process to you
    • Told you the Payment Protection Insurance (PPI) was optional and NOT compulsory
    • Explained the terms and conditions in full
    • Explained the total cost of the PPI to you
    • Asked you comprehensive questions on your employment and health situation.
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    If they didn't do any of the above then you may have a claim
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    Write to your lender directly using one of the free complaint templates available at http://www.moneysavingexpert.com or use a claims management company such as http://www.ppiclaimsreview.co.uk (if using a claims management company be sure to check they are registered with the ministry of justice).
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    If your lender denies the bad selling the Payment Protection Insurance you can refer your complaint to the Financial Ombudsman Service http://www.financial-ombudsman.org.uk who will investigate it further and if necessary order your lender to pay back any premiums you may have paid.

Warnings

  • "Claims firms typically charge up to 25% (+VAT) of any award for the most common type of compliant, badly sold payment protection insurance, designed to cover loan or credit card payments. On a £10,000 pay-out, that’s a £2,937 fee."

Things You'll Need

  • Sometimes it is easier if you have copies of the agreement you signed with your lender; it can speed the process up considerably.


Article Info

Categories: Insurance