CLAIM YOUR SHARE OF MIS-SELLING MONEY
The High Street banks and credit card providers have now set aside nearly £10 billion to pay compensation to people who were systematically mis-sold payment protection insurance on loans and credit cards. Less than half the money has been paid out. The other half is sitting there waiting for claims – perhaps from you.
If you were sold a loan or credit card before around 2010 you were almost certainly sold insurance with it. It was supposed to protect your payments if you fell ill or lost your job. But it came with numerous get-out clauses which meant it seldom paid out. And it was sold by staff in banks motivated by bonuses and targets to sell this highly profitable but largely useless insurance to an unsuspecting public who trusted their bank.
Following a court case the banks and other lenders now have to give back all the premiums paid plus interest at 8% on them from when they were paid to when they are refunded. Strictly speaking they should only pay out if it was mis-sold – for example they sold it to self-employed or unemployed people or to those over 60, none of whom could claim. Or they did not explain the terms properly. But the banks are so desperate to try to restore their damaged reputation that they will pay out to just about any customer to whom they sold Payment Protection Insurance (PPI) with a loan or credit card.
Because the sums awaiting claims are so vast a whole new industry has grown up to try to get a share of this money by ‘helping’ people to make a claim. We have all had texts or emails from these firms sent out at random hoping to get people to use their service. The texts and emails are hard to stop. But never, ever be tempted to respond – even negatively – to them. Just ignore them. The best of these firms will take a third or more of your money and are no better at making a claim than you are yourself. The worst are scammers who will take your money and get you nothing.
You can make the claim yourself simply and easily. Think back to the loans and credit cards you have taken out in the last fifteen years and consider making a claim for a PPI refund from that bank or card provider. Most of the big banks have dedicated teams whose job it is to assess claims and make the payouts. Check their website first. Don’t worry if you have no paperwork they have to check it themselves.
If you do want help or advice there are two free sources. The consumer organisation Which? has guidance and standard letters to make a claim www.which.co.uk/ppi and so does www.moneysavingexpert.com/ppi . Why not claim your share of the billions set aside? It was your money in the first place – now you can get it back.
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