Last year, UK banks challenged the Financial Services Authority (FSA) over guidelines it published, saying that banks should contact all past customers and invite them to complain if they thought they had been mis-sold PPI. However, the courts upheld the ruling, meaning that the banks expect to write between 4 and 12 million letters to those who have been affected. With a further full inquiry into the PPI scandal on the horizon, it is also estimated that banks will be paying out a total of £9 billion to those who were mis-sold PPI.
PPI may have been mis-sold to you for many different reasons. The following list showcases the 5 most common ways in which you may have been persuaded to purchase PPI, and why you might have a claim:
You were self-employed, unemployed or retired when you purchased PPI
If you weren’t asked about your employment status when you first purchased PPI, or you made your situation clear and were sold the product anyway, there’s a strong chance you have a case for compensation.
You were sold PPI even though you had a pre-existing medical condition
If you weren’t asked questions about your health when you were sold PPI, you may have a claim. Check the terms and conditions of your policy to be sure.
You thought PPI was compulsory, or were advised to buy it
If you felt pressured into buying the cover, or if you were told that your application for credit could not continue if you didn’t take out PPI, you may have a claim.
You were sold insurance that didn’t suit your circumstances
Most PPI policies last for only five years. If your loan or credit agreement was for longer than this, were you told that you would not be covered throughout the whole period? Equally, if you took out a loan in joint names, but only one person is covered under the PPI policy, then this insurance may also have been mis-sold. Also, many people believed they would be covered for redundancy – but this may not be the case. If you were self-employed, an agency worker or in part-time work it is highly likely you would not have been covered and so, again, it may have been mis-sold.
You didn’t even know you had PPI…
Believe it or not, some old policy agreements used pre-ticked boxes that required consumers to request not to have PPI with their loans or credit agreements. Check any credit card, finance or loan agreements you have, and make sure that you haven’t unwittingly been paying for PPI.
Who should I contact if I want to make a claim?
Today there are specialist PPI claims companies, such as iSmart Solutions, who may be able to help you make your claim.
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