Anybody who has taken out a loan with payment protection insurance (PPI) can now find out whether they are entitled to claim compensation. A claims company that is established and experienced in dealing with PPI claims can handle your PPI compensation claim on your behalf. They do not charge any up front fees which means that you have nothing to lose and everything to gain if your compensation claim is successful.
PPI is a form of insurance that protects borrowers if they are unable to work. It pays out a set amount each month for a set period of time. The problem with PPI is that the policies are so restrictive that they do not always pay out when the customer finds themselves out of work. One reason for this is that most of these policies provide inadequate cover for the self employed, who will find it difficult to make a successful claim. Another reason is that if you have an existing medical condition you won’t be able to claim if that condition affects your ability to work. There are also other medical conditions that generally are not covered by this type of policy.
Another problem with PPI is that these policies are so expensive. Single premium policies are tacked onto loans and the customer ends up paying for the insurance first before paying off the loan. In addition to this, interest is added on top of the insurance amount which inflates the cost of the policy. People taking out loans generally desire the cheapest option but they are often not told that by taking out a single premium policy it is likely to be an extremely expensive option. In almost all cases, the customer was not informed that there may be cheaper options for protecting their loan repayments. If you took out single premium PPI and the cost of the policy and the fact that interest is added on top of the policy was not explained to you, you may have a valid claim for compensation.
The consumer advice website Which has advice on what to do if you have been missold PPI. If you are happy with dealing with your loan provider directly then you could use one of their complaints templates to formulate a formal complaint. If you choose to go down this route, you will need to be prepared if your lender rejects the complaint and know what to do next. You may need to draft an appeal to refer the matter through the Financial Ombudsman Service but in some cases where the sale is classed as a non-advised sale, you may need to take the lender to Court in order to claim compensation. For these reasons, it may be easier to employ the services of a claims company who should know the ins and outs of such cases and advise you on the best route to take should the claim be initially rejected. For straightforward cases the DIY approach may work well but many cases are not as simple as this so do be prepared to do some research.
If you would prefer a claims company to deal with your complaint on your behalf then click on this link: mis sold payment protection and you will find a claims company who has the necessary authorisation from the Ministry of Justice to handle this type of claim. Remember, it will be beneficial to choose a claims company that does not charge any fees upfront because you won’t lose out on the fee should the claim be unsuccessful for whatever reason.
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