Some of the Frequently Asked Questions are:
What is PPI?
PPI stands for personal protection insurance. This is supposed to pay your loan repayments for one year in case you got sick or you were unemployed and not able to do so (after you took out the insurance while in full pay and in met eligible critera).
Is all PPI cover bad?
Not all PPI covers are bad. However, this product has been grossly mis-sold by banks and other financial services to benefit themselves.
Why has PPI been so much mis-sold?
This is because most of the time the sales staff are under too much pressure to sell it that they resort to lies and half truths to coerce people to signing up for insurance.
Because the institutions they work for are trusted, many people usually fall for these lies.
How far back can I claim on PPI mis-selling?
There is no specific date for the claim because as far back as 2002 people were being warned about it. The services have just been improved in 2011 so one may go back as long as they can to claim as long as the claim is legitimate. See our Guide to Payment Protection Insurance Claims for more information.
Is there a deadline for placing my claim?
Usually there is no deadline but if you wait too long like more than six years after your bank account is closed it will be harder to get your records and to prove the legitimacy of your claim.
How much can I hope to claim?
Usually, the claims are about 15 to 30% of the bank balance. It is however not necessary to waste time calculating this because the lenders will usually do it for you and compensate.
However, you can easily work it out if you calculate your monthly loan payments.
Can I keep my PPI and still save money on it?
Yes, you can switch your cover for a cheaper one. If you get standalone cover you could save up to 70% on costs.
I need more help! Where can I get advice?
For further queries you can contact the financial ombudsman with the following numbers:
08000 234 5679 (0300 1239 123 from a mobile).