Can I Reclaim My Ppi?

Millions of UK consumers have purchased financial products in the last ten years and almost of them will have been sold Payment Protection Insurance as an add-on. PPI is designed to cover your ability to repay your debt should you find yourself in unfortunate circumstances such as injured or unemployed, however, the lenders have been using a loophole to sell PPI to customers who were not qualified for the cover or who did not fit the requirements of the PPI they were sold.

For the past decade, lenders have raked in an estimated 3bn by using the loophole and avoiding payouts at all costs. Although arguably getting by on technicality financial watchdogs have deemed them to be in breach of financial practice. Many high street lenders have been slapped with fines of up to 7m and stand to lose much more from refunds.

The scale of this rip-off was fuelled by commission hungry salesmen who would often stipulate if you did not take out the PPI, you could not have the loan, which is wholly untrue. Some lenders only mentioned the purchase of PPI in the small print and by signing the contract you implicitly agree to pay for it, despite not being included in your original quote.

By their very definition, some people are ineligible for PPI and have still been paying for it, for example if you are above the age of 65 you will not be able to make use of PPI as you are above the age of retirement. Anyone who has paid for PPI over this age is legally entitled to a full refund.

Self employed consumers are considered to be in a less stable financial position than someone in full time employment so you will not qualify for payment protection insurance, however, your lenders will be more than happy to offer it to you with no intent to pay it back to you.

Most lenders will require a copy of your medical records as insurance is usually based on the likely hood of you falling ill or getting injured, if you have a history of illness or any other medical ailments you will not qualify for PPI. As you can imagine, the lender will be very keen on ensuring you take out PPI even with your medical record in their hand and you will have no chance of being covered.

If you have been sold PPI and fall into one of these categories you are probably entitled to a refund, but it is more than likely that you will be entitled to a refund regardless. If you want your money back you will have to chase the banks for this and it is often easier to het the help of a legal professional.