The press has been rife with stories about mis-sold Payment Protection Insurance (PPI), with countless stories of duped customers claiming back hundreds of pounds. While it is estimated that around 4 million people in the UK are liable for compensation for mis-sold PPI payments, many are still not aware that they even qualify.
1. Check all your financial products
PPI was mis-sold mostly with mortgages, however, it was also sold aggressively with credit cards and personal loans, and so if you have any of these products they should be checked. The PPI itself may be labeled as unemployment cover, sickness cover or loan protection. It may be disguised, so look out for keywords such as insurance, cover, or protection.
2. Check how the PPI was sold to you
Once you’ve found the evidence of PPI, you will need to check whether you can make a claim based on how the PPI was sold to you. It will be considered a mis-sold PPI if it was included on your mortgage or loan as a non-optional add on, if you were not given any terms and conditions, or not offered a cooling-off period. It will also be considered mis-sold if you didn’t qualify for the insurance in the first place, for example, if you were unemployed or retired at the time.
3. See if you are viable for a refund
If you still have the policy running, or had purchased one within the last 6 years, you will be eligible to make a claim. If you were retired, unemployed, a student, or planning to become self-employed, you would never have been able to use the insurance, and so will be viable for a refund.
4. Contact the provider
If you can clearly see that you were mis-sold PPI, or you have any doubts about how it was sold to you, contact the provider who sold you the product. If they do not accept your case, request a “deadlock letter” and contact the Financial Ombudsman Service, who will assess your case and help you on your way to claiming back the money owed to you.