How to Deal With Payment Protection Insurance Complaints

Banks and financial firms have been sending reminders to their customers via emails and text messages on their mobile to reclaim the PPI money, as there is a fair chance of it being mis-sold by their executives.

Even if you have not received any such message or letter, do not fret, as you can still raise a complaint, if you have enough evidences that you were sold the policy without your knowledge. Most of the times, individuals continue paying monthly installments, even when they do not need it or are not eligible for it.


How to Reclaim PPI Money?

First, you must find out, whether you have the policy papers along with your loan documents. It could be included in any form like accident, unemployment, sickness or credit protection plan. You have to thoroughly go through the papers, as it is mostly written in small print. Then, find out whether it has been mis sod to you along with the loan amount.

If that is the case, then write a letter to your lender along with the copies of the loan and PPI documents. They will take about two months to respond. If their action taken does not satisfy you, then you can further approach the Financial Ombudsman Service.

Here Are Some Terms, Which Will Help in Deciding Whether You Can Claim the Funds

  • While taking credit to buy an automobile, you would have signed the loan documents, which also includes payment protection insurance by default.
  • Sometimes the credit does not happen directly, as some of the agents are involved. In order to get high commission, they make PPI coverage mandatory to get any kind of loan, which is not legal.
  • In a hurry to pass on the loan amount and get incentives, many bank officials or brokers do not explain the terms and conditions regarding the PPI policy.
  • They even do not bother to inform the customer about additional PPI cost while mentioning the total interest to be paid.
  • Many a times it is advised by the agents to take the policy to simplify the sanctioning of loan, which is totally untrue. If you have any such coverage provided from other financers, then you do not need any other money coverage plan.

Few Tips to Claim Back Your Fund

If you still have the policy, or if you have had in the past six years, you are eligible to claim the money back, if the creditors have mis-sold it to you. If you do not have the records, you can ask your lender to provide the copies of it. They cannot deny it under the Consumer Credit Act.

If you have taken multiple PPI with different debts, you can claim for each one separately.
In case your claim is rejected, then fill the online Financial Ombudsman service form, which will verify the evidence of both the parties and give their final verdict. Most of the cases solved by them have been in favor of the consumers.