ShepMeyers - Finance, PPI And Scottish Trust Deeds Advice

Advice On PPI Claims

Banks and other lenders have been accused of dressing sales representatives as advisers to offer advice and incentives while selling payment protection insurance to people who do not really need it. Some customers feel they were pressured and mis sold ppi that they would have never considered had they read or understood the fine print.

If you feel you have also been a victim of ppi mis selling, then you could have grounds to claim compensation. When businesses market or sell such policies in ways that go against FSA guidelines, then there are chances PPI will be mis-sold. The SA regulatory handbook sets insurance rules with an in-depth report showing how insurance companies should offer policies and the importance of dealing with customers in a fair and honest manner.

With millions of people applying for loans, credit cards or mortgages every year, it is not uncommon to find just as many people getting unnecessary charges. PPI can be classified mis-sold in any of these circumstances:
The bank did not clearly state that payment protection insurance was optional. This feature has to be clearly outlined so shoppers do not get into pricey policies without proper knowledge.
You were 65 or older when you took out the policy. Anyone older than 65 years is well into the age of retirement and a PPI is of no use. However, some sales people will still try to sell the policy even if it is not reasonable.
You were underage when you took out the policy. Anyone under the age of 18 should not be allowed to enter into certain types of contracts, including Payment Protection Insurance. Policies taken by underage consumers are invalid and do no warrant a full refund.
You felt pressured into taking the insurance. Some clever sales people give consumers the impression that their loans can not be accepted if they do not take out the insurance policy, which is not the case. Try to get more information on your own, perhaps by reading a few articles online that will show you just how optional PPI is.
You were wrongly advised. If this policy does not suit you, then the insurance provider should let you know. An unnecessary financial burden could wreak havoc on your finances.
Important factors, such as self employment or pre-existing medical conditions were not addressed. A lot of pre-existing illnesses are excluded from the policies, especially if there is a chance it will affect your job at a future date.
PPI was added to your loan without your knowledge. Payment Protection Insurance is optional and should not be written in as part of default credit agreements or concealed in a way that it appears irrelevant. Consumers need to understand what it entails and determine if they need it.
You were not presented options to shop for the policy elsewhere. Consumers are allowed to purchase PPI from any lender and insurance companies are not allowed to give the impression that consumers have to use their products exclusively.
Mis-selling is common even with major lenders, which means millions of people are being subjected to expensive premiums on policies they do not require. In many of these cases, the borrower does not know they are being charged for PPI on their monthly payments.

Several companies have come up and are helping people claim mis-sold PPI in order to assist people who are not quite familiar with the system. No-win-no-fee is a common term nowadays that usually refers to PPI claim settlements. Borrowers allocate a percentage of their claim to a third party that then makes the claim for them. It is much simpler than going through other slow processes and it does not require an initial deposit.

While a good number of PPI policies are mis-sold, not all are so it is important to look into all the details before making a claim. If the policy presented features that were applicable to your situation at the time, then you would not have grounds for a mis-sell claim.

Gathering information about these policies could help shed some light on the workings of the system and perhaps guide you in choosing the right insurance provider so you do not end up another victim of the mis selling scandal.