Can I Trust the Financial Ombudsman with My PPI Claim?

Posted on July 30, 2018 by Canary Claims Exchange Tower in London

The Financial Ombudsman has been in the spotlight recently with questions raised about how fairly it’s resolving cases.

The process of making a PPI claim can be long and tiresome. The first step is to discover if you were mis-sold PPI. Next, you need to make a claim to the bank. Finally, you’ll receive a decision about whether you’ll receive a refund. If your claim is upheld by the bank, this is excellent news and you’ll shortly be receiving a cheque from the bank or lender.

If you wish to find out how to claim PPI, refer to our comprehensive guide. It details everything you’ll need and stresses why you should make a claim before the PPI deadline.

However, for those whose cases are rejected by the bank, the journey does not end there. If you believe that you have a strong case, you can refer your claim to the Financial Ombudsman (FOS).

If you’re not sure who the FOS is and its role in PPI claims, refer to our guide about making a PPI claim with the Financial Ombudsman.

However, you may have heard negative reviews of the FOS and its service. The recent Channel 4 Dispatches programme about the FOS highlighted a number of issues and you might be feeling sceptical about how it will manage your case.

Below, we explain some of the issues that the FOS is currently being accused of and if it’s worth you trusting the organisation with your PPI claim.

What Did the Dispatches Programme Highlight?

There were numerous issues and concerns highlighted in the Channel 4 documentary, including the following:

  • Employees are not trained well-enough and sometimes need to Google certain products to understand what they are dealing with
  • Employees have unachievable targets, meaning the wrong decisions are often made
  • Employees had to work through a backlog of claims, meaning results were churned out quickly and without due care

In addition to this, the FOS has received extremely negative online reviews from unhappy customers. Clearly, there are some issues at the FOS, leaving customers feeling concerned with the service they have received when referring their PPI or other claims.

What Is Happening at the FOS?

After the Dispatches programme, Nicky Morgan said that it was ‘troubling’ and wrote to the FOS asking the chief executive a number of questions about the issues raised in the programme. She has asked for evidence to be provided to demonstrate that the FOS is working in a fair manner.

An independent investigation will review the allegations and look at how cases are being handled at the FOS. After the investigation is complete, there might be a discussion about whether some cases should be reopened.

Should I Still Use the FOS for My PPI Claim?

If the bank rejects your PPI claim, it’s still advisable to refer it to the FOS, if you believe that you have a strong case. At the moment, this is the only thing you can do. As the FOS are under increased scrutiny, you may have more success.

However, you will still need to provide all the appropriate evidence of mis-sold PPI and state why you think the bank made the wrong decision when it rejected your claim.

If the FOS rejects your claim, you are able to appeal, but this is a long process and even then, it may not be looked at again unless you have a strong case.

Canary Claims is the best PPI claims company to handle your case. From discovering PPI to contacting the FOS, we can do it all. Start your claim with us today with no upfront fees.