Following widespread media coverage surrounding the issues concerning Payment Protection Insurance more and moreUKindividuals are finding out about PPI mis-selling and the significant PPI refunds many are entitled to. While PPI per se, is not a bad product, the way in which it was sold it a contentious issue for many consumer watchdogs. When buying any financial product it is always important to do your research and have all the relevant facts and details on the insurance policy you are purchasing. To help you make an informed decision, here are some important facts regarding Payment Protection Insurance refunds.
The first thing that you should find out is if you have ever purchased Payment Protection Insurance in the past or if you are currently paying for a PPI policy. You may have been sold PPI without realising that it was an additional cost therefore it is worth checking your financial statements for PPI. There may be well over 20 million PPI policies held in theUnited Kingdomwith the majority being sold alongside credit cards, store cards, mortgages as well as other types of loans.
Consumer support groups believe that more than two million of these policies have actually been mis-sold since the year 2003 and you could very well be one of those individuals unfairly sold PPI. Fortunately there is good news for those consumers who have been mis-sold Payment Protection Insurance, thousands of households are now receiving PPI refunds from the companies who mis-sold sold them their policy.
Check your statements for PPI
In the past, after purchasing a new line of credit in the form of a loan, credit card or mortgage, it was common for the vendor to sell Payment Protection Insurance alongside your borrowings. The policy is designed to protect consumers from defaulting on their debts if they find themselves out of work due to illness, injury or redundancy.
However, numerous policyholders have found that their PPI claims are swiftly rejected when applying for a payout on their insurance. Commonly these high rejection rates are due to failings by the vendor to fully inform the customer of the relevant clauses and exclusions associated with their PPI agreement. Many vendors have in the past failed to point out these important exclusions resulting in potentially millions of worthless and expensive mis-sold Payment Protection Insurance agreements.
In some instances, policies were incorporated into the loan with no permission or knowledge of the customer and in other instances, vendors informed borrowers that they could only get the loan, if they took out a policy. If you were unaware of the exclusions at the time of the purchase, you may be paying or have paid for a policy that does not cover you. Two common exclusions which were not highlighted by vendors concern agreements which only cover full time workers and policies which do not cover a person if they reach the age of retirement.
Sally Bowyer, Managing Director of Brunel Franklin, stressed that vendors have a responsibility to ensure their products are appropriate for individual customers at the time of sale. “Unfortunately, however, the historic mis-sale of PPI policies was by no means unusual. Customers may wish to protect their loan repayments, but all too often in the past they were sold PPI products that were completely unsuitable for their needs.”
Learn more about PPI refunds and find out if you could apply for a refund today! Visit the website www.brunelfranklin.com or call Brunel Franklin, free, on 0800 051 54 51.