Common PPI Questions Answered – Part 1 of 4
The Payment Protection Insurance (PPI) claim process can be very confusing. This article is part of a series that Your Money Claim are publishing to clear up common misconceptions about PPI and help you better understand your right to compensation!
Is every PPI policy bad?
There are arguments for and against whether every PPI policy is bad.
Our opinion would be that a separate Income Protection Policy that is not sold as part of a package, such as a credit agreement, is a far better way of protecting yourself against accident, sickness and/or redundancy.
The problem with PPI is that it only covered your credit agreement payment that it was attached to.
Sales teams at banks and other financial institutions were targeted and pressured to sell PPI to customers as the profit to the banks was huge, which in our opinion is a clear indication that the policy was not value for money for the customer.
Which products could I have PPI on?
PPI was sold on virutally any form of credit that has been provided to a customer.
Barclays even had the audacity to attach PPI products to some of its current accounts!
The idea of PPI is to protect the customer should they fall ill or lose their job and struggle to make repayments on that mortgage, loan, credit card etc.
So think of all those scenarios where you are committed to making repayments – PPI could be included, possibly without you even knowing it!
Examples products include: mortgages, car finance, store cards, loans, catalogues, credit cards, hire purchase agreements.
When did PPI mis-selling start?
There is no definitive start date for the mis-selling of PPI, although it is generally accepted that PPI started being sold in the early 1990s.
Whilst it is unlikely that PPI was added to credit agreements prior to the 1990s that is not to say it is certain, so it is still worth checking, which is something we can do.
If I claimed on my PPI, can I still argue that it was mis-sold?
The simple answer is yes – the fact that you later made a claim on the policy does not alter the way the policy was initially sold to you.
If the policy is proven to have been mis-sold and compensation awarded, the lender will simply deduct any amount paid out by the insurance from the compensation award.
Will they cancel my PPI if I reclaim it?
It is highly likely that any claim would bring your existing PPI cover to an end, given you are arguing that it was mis-sold.
However, as explained earlier in this article, there are better policies out there that offer comprehensive income protection cover which are much better value for money.
Are there other names for PPI?
Yes, there are plenty. Lenders used various names for what is basically PPI so don’t be fooled into thinking you haven’t had PPI just because you haven’t seen ‘PPI’ in any paperwork.
It could be named ‘payment cover’, ‘ASU’, ‘loan care’, ‘protection plan’, ‘loan protection’, ‘retail payment protection’, or something similar.
If you are unsure, simply contact us and we can quickly tell you whether you’ve been paying for PPI. We do not even need any paperwork from you to discover whether you can make a claim.
Making a PPI Claim
Not sure whether you’ve been sold PPI? Our fast and comprehensive checking systems that have been set up with almost all banks allows you to find out whether you’ve been one of the millions who have had PPI.
Not sure whether you qualify? Check here to see whether you may.
Want to know how much you may be owed? Why not try our PPI calculator.
If you have had a loan, mortgage, hire purchase agreement, credit or store card within the last 25 years there’s every chance you’ll have been paying for PPI.
We’ve made claiming easy, taking the stress out of you having to deal with the paperwork, the stress, and the tactics employed by the bank to try and wriggle out of paying.
So….how do you start your claim?
#1: The first option for you is to fill in the form which can be seen on every page. By doing so, we will send you out a form in the post for you to complete. Once we’ve received the form back in the freepost envelope we send you with your form, we can make a start on your PPI claim.
#2: The second option for you is to download our form, which again can be found on every page by clicking the ‘download pack’ button. Simply print it out, complete it and send it back to us, our address can be found here. Once we receive is back we’ll let you know and make a start.
Our team of experts are on hand to answer any questions you have via telephone, email or our live chat facility.
So….why wait, let’s get started!