The United Kingdom is dealing with a bank scam that has effected a large part of the population. Payment Protection Insurance (also known in some cases as credit insurance, credit protection insurance, or loan repayment insurance) is a product that was introduced by the major banks as a way to help provide protection to consumers in the event of a life crisis that would prevent them from paying off your debt.
An example of a crisis that may prevent you from making payments to your loan or debt would be an illness, death or job loss. At the right time and in the right circumstance, this was a great product. The majority of banks realized how much profit it yielded so it started to take off.
The banks were making a lot of money and their employees were making large commissions and bonuses. When they started to get greedy, it was discovered that the insurance product was being mis sold to consumers in many different fashions. More and more people keep coming forwarding claiming to be victims of this scam. After going through the process, people are walking away with £1000s in reclaimed PPI costs.
So the question many people have is, how do I know if I have Payment Protection Insurance?
How Do I know If I Have PPI?
- Go through old paperwork and look for any mentions of: payment cover’, ‘protection plan’, ‘ASU’, ‘loan protection’, ‘retail payment protection’, ‘loan care’
The first step is to investigate and see if you held Payment Protection Insurance policy with any of your loans or debts. If you live in the UK and hold any forms of debt, it is highly likely you could have mis sold a policy. Examples of debt that could be effected or have this insurance lumped in with it are:
- credit cards,
- personal loans,
- mortgage ppi,
- secured loans,
- dealership car finance,
- store cards,
- catalogue credit,
- monthly paid insurance
Create a list of any of your debt that could be effected. You can also check your credit report to see what debts you currently hold or have had in the past. Experian, Equifax or CallCredit will list every debt you have had that within the last 6 years
Once you have a list of your debt, one way to go about finding if you have PPI is to simply just ask! You can go directly to the companies and ask them. They should be able to look you up. Most lenders are prepared for these questions.
If they are unable to help you, you can do your own research and look through your paperwork. Statements or even terms of agreements for any of these items should be able to explain in detail if you held a PPI policy and also how much you paid for it.
PPI Claim Companies
PPI Claim Companies, like Canary Claims, are able to help those who have been effected in many ways. They can even help you in the early stages to see if you have any PPI policies. The better companies use PPI software that can help locate your past and present debts who have payment protection insurance. They can do this with simply your name and your address history.
Are You Eligible To File A Claim?
Once it has been established that you have had a policy, you will meet with a Payment Protection Insurance Claim Management Company. They will initially ask you a bunch of questions to gather information for the case. This is done because there are certain criteria that needs to be met to file a claim.
If any of these criteria are met they know they likely have a case and will likely win you your claim. The most basic criteria being that the policy was mis sold. What does this mean exactly? Mis selling could mean many things and in many different forms. Below are the three main examples:
- Were the costs and benefits made clear?
- Were you aware that Payment Protection Insurance is optional and not a necessity?
- Are there any important limitations in a policy that would affect you if a claim were submitted?
Were the costs and benefits made clear?
The consumer needs to be able to make an informed decision about the product on their own, if it was advised or even unadvised. They need to know what costs the policy is adding to their loan or debt as well as what benefits it is providing. A lot of times, consumers involved with this scam were not given these details.
Were you aware that Payment Protection Insurance is optional and not a necessity?
PPI is not required to take out a loan, get a mortgage, open up a credit card, etc. Some consumers were under the impression that they were during this scandal. Some people even refused the product and were still being charged.
Are there any important limitations in a policy that would affect you if a claim were submitted?
A lot of policies have limitations that could prevent you from ever utilizing the insurance. Things such as age, employment, and preexisting medical conditions are all examples of things that could be limits on the policy. It is important to know these prior to investing because you may be investing in something you can’t use!
If you have experienced any of the above mentioned situations, then you can have a case against the banks to file a PPI claim.
Now that you and the PPI Claims Company have determined you have a case, the next question is timeframe. How old is your policy and are you still able to file a claim? A key to PPI claims is that even if a debt has been paid off, you can still make a PPI claim. There are certain time frame requirements when it comes to PPI claims but as long as you have the paperwork and make your case, it is still possible. As long as the policy was active within the past 6 years, or if it is even still active, then you are still able to reclaim.
Overall, PPI Claims Company are very beneficial to consumers in the PPI claims process. Once you have identified that you have held a policy and that you were mis sold, it is best to contact a PPI Claims Company to help. They will walk you through each step and will win you back what you deserve.