Recent press regarding the world of payment protection insurance has brought to light many incidences of people being sold policies in an incorrect manner, and this has resulted in widespread claims for compensation. It may be that you are not aware of the details so lets have a look at what the furore is all about.
PPI or payment protection insurance is a very common form of insurance that is designed to cover a credit agreement in the event you can no longer work. By paying an agreed monthly sum you create a fund intended to keep up the payments on your mortgage or loan for a set time usually one or two years in the event that you are made redundant or rendered unable to work thanks to accident or illness. The terms of each policy will, of course, differ.
A few years ago the powers that be looking into a number of complaints from customers that they had been
mis sold PPI. The findings were quite alarming as they uncovered regular instances of PPI policies being sold to customers in ways that were not acceptable. Indeed, some people were completely unaware that they were paying into such a policy and there may remain many people who still are. It has always been the case that the consumer had the right to shop around for the best payment protection policy available, yet in many cases it had been inferred to the customer that they would need to take out a branded package from the lender in order to secure the loan or mortgage they required. This practice is, and always has been, illegal and new regulations have been drawn up that make sure consumers are no longer subjected to such. It is now against the regulations to sell a PPI policy at the point of sale of a credit agreement and also to sell one within a week of granting the loan.
Even with the increased publicity there are many people who remain unaware that they have a right to claim. If you suspect that you are able to claim for mis sold PPI charges you need to contact one of the many professionals offering help and advice on the subject as a first step to getting the compensation you deserve.
