Showing posts with label Payment protection insurance. Show all posts
Showing posts with label Payment protection insurance. Show all posts

Thursday, February 28, 2013

The Latest on the PPI Scandal

The concept of PPI reclaim isn't really a new one, but it’s definitely picked up speed over recent months because of FSA involvement. Since the regulator instructed banks to contact known victims of mis-sold PPI, news of the scandal has traveled like wildfire. Between 4 and 12million letters are expected to be written[1] – some of which having already been sent – by the banks to individuals all over the UK. While consumers have known about the scandal for a while, the media coverage has heightened the importance of making a claim, with billions being put aside for this very purpose.

The Bank of England has been warned that the total redress could be looking more like £25bn once the bulk of the claiming is over[2] – that’s almost double what the banks have put aside so far. Last year, 19,000 people submitted claims[3] with a total of £1.9bn being paid in compensation[4]; this year it’s expected that these figures will skyrocket. With the help of claim management companies such as iSmart solutions UK, you can claim your rightful piece of the PPI pie, as well.

The importance of using a claim management company (CMC) to control your claim is emphasized by latest statistics showing the success rates, compared with claims chased by individuals themselves. Last year, 73% of PPI claims made by individuals were successful, but this figure rose to 82% if a CMC was used to do the legwork[5].

It’s also important to note that, if you think you have grounds for a claim, you act on it as soon as possible. With rumors of a Spring 2014 deadline for PPI claims, with some banks running low on funds sooner than that (in some cases, more like March 2013 due to huge underestimation of claims)[6], it is vital that you claim what is rightfully yours, today. Banks are continuing to add money to their money pot to try and get on top of the massive amount they have already set aside – some of this could be yours.

The Financial Ombudsman Service (FOS) has employed 1000 new caseworkers to tackle the influx of PPI claims that they’re expecting over the next several months[7] – an astronomical amount of claims and calls are being made, with up to 11000 new complaints per week to the FOS by people who are unsatisfied with the response the banks have given to their claims[8].

One of the reasons why there’s such an issue is because of the sheer number of frivolous claims using the resources for nothing. Some claimants are trying their luck, on the off-chance that they

Friday, November 23, 2012

Mis-sold Credit Card PPI: Things you must know

In the past 18 months claims against banks for mis-selling PPI(Payment Protection Insurance) has rocketed, with the Financial Services Authority reporting that 2.2m PPI complaints have been made against the banks between January and June 2012 alone – an increase of 129% on the previous six months. However, whilst the numbers of people claiming back PPI on loans and mortgages rises steadily, fewer PPI claims being made against credit card providers. This is despite the fact that, according to the Competition Commission, credit card PPI accounts for one quarter of the PPI market. 

To make sure you aren’t missing out on reclaiming PPI on your credit card, here is how to check if you have PPI on your credit card, how to tell if you were mis-sold PPI and how to claim back your PPI.

How to check your credit card for PPI

There are several ways to check if you had credit card PPI. Start by finding your Credit Agreement – this shows if you signed up for PPI. If you no longer have it and your account is still active you have a legal right under the Consumer Credit Act to get a copy from the lender for £1.

You can also look at your statements – any PPI you were paying will be itemised under 'payment cover', ‘card insurance’, 'protection plan', 'ASU’ (Accident, sickness and unemployment) or similar.

As PPI claims increases, most lenders now have a PPI customer number. They should give you answer over the phone or within a few days. By law credit card companies have to keep details of accounts for six years after it was active so they will still have this information, even if it’s been bought by another credit card company – such as Egg who are now owned by Barclaycard.

If you no longer have your account details but your card was still active in the past six years, you can find them on your credit report. Equifax and Experian have free 30-day trials.

If your credit card account was close over six years ago and you no longer have the credit agreement, statements or the account number, it’s unlikely you will be able to make a PPI claim as that information probably will no longer be held by the company. 

How to tell if you were mis-sold PPI

If you answer yes to these questions you were probably mis-sold PPI:

  • Were you self-employed, working part-time, unemployed, retired, in the civil service or a student? 
  • Were you told that you were more likely to have your application approved if you bought PPI? 
  • Did you feel pressurised into buying PPI? 
  • Have you found PPI on your statement but were never sold the product? 
  • Did you have any pre-existing medical conditions such as back problems, diabetes or a heart condition? 

How to make a claim on mis-sold PPI

Once you’ve established that you have had PPI on your credit card you can start a claim either yourself of by using a PPI specialists such as Gladstone Brookes. In 2011 Gladstone Brookes dealt with 44,600 claims for mis-sold PPI and claimed back over £108m. To start your claim call 08000 469 144 or complete their online PPI claim form.
Author Bio :

This post was written and supplied by Gladstone Brookes, a PPI claims company in the UK. They have helped tens of thousands of happy customers reclaim their mis-sold PPI's on their credit cards, loans and mortgages since 2006. Regularly writing and sharing personal finance and money saving advice.

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