It’s difficult to put into words the magnitude of the PPI scandal. You’ve probably read the statistics:
“Around 45 million PPI policies were sold between 1990 and 2010. Premiums for those policies were worth around £44 billion to the banks.”
For most of us, talking about ‘billions of pounds’ is similar to talking about stars being light years away: it’s quite difficult to grasp.
So let’s bring some perspective to it.
Reading that brings the ‘billions of pounds profit’ for the banks into sharper focus, does it not? Remember, too, that those figures above are for one billion. The banks raked in more than £44 billion from PPI.
Multiply those figures above by 44 and the mind really begins to boggle at the full extent of the PPI scandal. It’s a little easier now to see why the banks continued (mis-)selling the product when so often it was against the best interests of their customers (you, perhaps).
It was a good money spinner for them. This is why you keep seeing PPI claims stories in the news. It’s most likely why you’re here now.
Maybe you’re one of thousands of people asking, “Have I got PPI?”
If you do have payment protection insurance on any of your finance agreements, you probably want to know if it was mis-sold or not. If it was, you’ll want to get your money back.
Below are some key points for you to consider before starting your PPI claims.
There isn’t a PPI deadline yet. But the arrival of a cut off date is looking more and more likely with each week that passes. Martin Lewis of MoneySavingExpert.com has argued against a PPI claims deadline, as many others in the arena have.
The main banks, on the other hand, have pushed for a deadline to be implemented on more than one occasion now. That’s not surprising when you consider that the total amount they’ve paid out so far in PPI refunds is in excess of £25 billion. And the claims keep on rolling in.
George Osborne, the Chancellor, is also keen for “a line to be drawn” under the whole PPI saga. He recently ousted Financial Conduct Authority (FCA) chief Martin Wheatley, which was the first step in opening the door to a change of policy at the financial regulator.
So if you’ve been putting off your PPI claim up till now, the potential for a claims deadline is a very good reason to get started sooner rather than later. You don’t want to be duped twice on the same money.
No you don’t.
Depending on where you go for advice on the best way to claim PPI, you may have been actively encouraged not to use a claims company. The advice is often something like, “It’s easy to claim by yourself.”
Of course, ‘easy’ is a relative term. While claiming PPI can be relatively simple in some cases, quite often it isn’t. You only need to recall the BBC article in August 2014 — which reported that 2.5 million claims were to be re-opened — to realise that PPI claims are often anything but simple for people claiming by themselves.
The reason those claims were to be re-opened was because their outcomes were questionable. The story went on to explain how the FCA said that firms were to re-examine some 2.5 million PPI complaints amid claims of underpayment and, far worse, outright rejection of legitimate claims.
It was estimated that the total amount underpaid was £1 billion (there’s that figure again). It’s fair to assume that of those 2.5 million claims, most — if not all — of the victims took their banks’ findings at face value. If they had suspected they were being duped again, they surely would have taken the next step of going to the Financial Ombudsman Service (FOS) for an independent review.
While we can’t categorically state whether those 2.5 million underpayments and rejections would have happened had these people been our clients, we believe it’s unlikely. When you do a job day in and day out, you become good at spotting things that are amiss.
Receiving rejection letters for legitimate claims or a lower-than-expected refund offers usually stands out like the proverbial sore thumb to us. We then challenge it and usually get the appropriate outcome and correct refund for our clients.
Not having account numbers is fairly common when it comes to PPI claims. If the policy has already run its course, you will have most likely discarded the paperwork. It is still possible to claim on those policies, though.
If you are claiming by yourself, it will involve a reasonable amount of work, but it’s possible. You’ll need to run a credit check on yourself to begin with. There are many services available to do this. We recommend either Noddle.co.uk or CreditExpert.co.uk.
Simply sign up, go through the process of generating your report and then download it. It’s best to print the report out, but not essential. Go through the report and look for the finance agreements that had PPI attached. For policies that had PPI, note who the provider was. Then contact the provider and ask for copies of your paperwork.
There is a simpler way to claim PPI without account numbers or paperwork. We have negotiated special agreements with a significant number of banks and lenders (currently more than 50 lenders, with more being added each month). These agreements allow us to get claims started even without account numbers.
All you need to provide is your name and the address you were living at when you took the finance out.
Your bank or lender will then use that information to check their entire database for any history you have with them. In many cases (but not all), they will also check with their sister companies.
What’s the catch?
There isn’t one, except that this agreement is not available to individuals claiming PPI by themselves. It’s an agreement negotiated between us and the banks to help speed the claims process up. Since its implementation, it has helped to do just that.
If you’ve been procrastinating on starting your PPI claims, you would likely benefit from having a chat with us. You don’t have to use a claims company to claim back your money from mis-sold PPI. For many people, though, it’s the difference between getting their money back, or not.
To chat further, just pop your details into the short form above and we will call you back. You are not under any obligation to pursue your claim further should you decide not to.
If you prefer to call us, you can do so for free on 0800 840 7290.