Mis-sold PPI Problems

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by: BTLewis
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Date: Sat, 28 Jan 2012 Time: 3:17 AM
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Payment Protection Insurance (or PPI as it is frequently referred to) is a form of insurance that has been sold to over a million UK banking customers alongside their loans, mortgages and credit cards. Unfortunately, it was sold fraudulently to many customers throughout the past ten years and was often about as useful as an inflatable dartboard.

Many who tried to claim on the policy in their hour of need (the purported use of this so-called ‘insurance') often had their claims denied due to ineligibility.

To start a mis-sold payment protection insurance claim, you would need to complain to the firm that mis-sold the PPI policy to you. While most banks and financial services will allow aggrieved customers to make a claim online, some do not (yet) and it is probably best in most circumstances to write a PPI complaint in letter form (and also send a copy of it in email form just in case).

While banks have been told to deal with these PPI claims as fairly, quickly and efficiently as possible, the sheer backlog of complaints that banks have to deal with are causing claims to move very slowly - resulting in many going to the Financial Ombudsman Service (FOS) or a Claims Management Company (CMC) to look at their respective claims cases.

Tidal Wave of PPI Complaints
Floods of PPI complaints hit many banks' claims and complaints departments hard throughout 2011, and there are no signs that the high numbers will dwindle, with the main offenders preparing for the worst by setting aside multi-billion pound provisions so that they can deal with the mis-sold PPI compensation expected by angered customers.

Payment Protection Insurance claims should always be handled seriously and someone who feels they may be the victim of PPI mis-selling should always be sure of the reasons why they believe the policy was mis-sold to them alongside their loan, mortgage or credit card.

PPI generated huge profits for banks in an utterly unethical and unfair way - by cheating customers who believed that this PPI policy was of use to them when it was - for the most part - not.

Seeking advice on the matter is not difficult and there are a variety of ways to claim back PPI - whether you feel you have the confidence to do it yourself, are denied by the bank and take the case to the FOS, or decide to enlist the expertise of a reputable claims management company - it is likely that if you have a valid and rightful claim to a PPI refund, you will receive a substantial part (if not all) of your money back which the banks took unnecessarily.

It's time to take back what is yours. Don't hesitate to claim, and don't be taken aback if they deny your initial complaint - the FOS should help if they find your claim is valid, while a CMC should be able to dispute the banks on your behalf. Just be patient and make sure you research your path and choose one that is right for you.

About the Author

Bryan Lewis has been following the PPI scandal for some time, writing for one of the UK's leading claims management companies.