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Archive for tag: June 2019 PPI Deadline

Has the June 2019 PPI Deadline Been Confirmed?

With so much alleged 'fake news' swirling around, it is increasingly difficult to know who or what to believe.

This is why at Payment Protection Scotland, we have put together this quick 3 minute read on the proposed PPI deadline and what it means.

Is there a deadline in place?

The June 2019 deadline was proposed by the finance industry watchdog, the Financial Conduct Authority (FCA), back at the start of August 2016.

As yet (March 2017), there has been no firm confirmation of the deadline. But, most people think that the lack of news or further updates means that the deadline will be announced alongside the start of a promotional campaign to make people aware of PPI and how to claim.

Why impose a deadline?

The arguments around PPI and the 'how and why' it was being sold to customers was first raised in the mid-1990s but it wasn't until January 2011 that the first PPI compensation payments were made.

Since then, it is fair to say that there has been an avalanche of claims that is costing the banks and lenders dearly - around £24 billion, in fact, thus far. And there are more claims to be made.

Is everyone in favour of a June 2019 PPI deadline?

There are critics on both sides of the fence.

Some financial experts think that there should be no deadline. They say that as yet, only 40% of people with a genuine and eligible claim for PPI compensation have made a claim. That leaves another 60% of people yet to claim.

If all these people were to make a claim between now and June 2019, the system would be flooded and possible unable to cope with the volume of PPI compensation complaints.

Critics also say that banks haven't done much to allay fears that it could happen again. And some banks and lenders have not always been upfront and honest in their compensating endeavours. Consumer groups and critics worry that banks may try and drag out claims beyond June 2019 and then decide not to pay customers.

Banks are not in favour either.They would prefer a closer deadline and were hoping to have a line drawn under the PPI saga by the end of 2018 at the latest.

What does this mean for PPI claims now?

Until there is confirmation of a PPI deadline, consumers are being encouraged to continue lodging complaints for PPI compensation, if they have the grounds to do so.

And with our help, within weeks you could be enjoying the fruits of your PPI compensation. Don't wait for the June 2019 PPI deadline - start your claim today. Call Payment Protection Scotland today!

 

The June 2019 PPI Deadline – Will it Happen?

When the Financial Conduct Authority (FCA) announced they were consulting the banks, lenders and consumer groups on imposing a PPI deadline, there were arguments and counter-arguments for and against the move.

With the consultation period expected to end on October 11th this year, many people are left wondering, will the deadline be imposed. And, if it is, what will the next two years look like?

Why impose a deadline?

Up until this recent announcement by the FCA, there had been widespread derision about the idea of imposing a PPI deadline. The banks, as you would expect, had been lobbying for a PPI deadline for some time.

Many consumer groups were - and still are - against a PPI deadline and underlying their argument, is one key fact, as they see it;

The poor PPI compensation claiming process that banks and lenders present to the customer

Some consumer groups, such as 'Which?' say that the PPI compensation process direct from banks, lenders and financial institutions are not clear. The process is also long and cumbersome, especially when, the consumer groups say, that the banks already know who they owe money too.

Apathy

In most cases, if someone has a PPI policy, they will be due compensation. Although there are millions of PPI policies sold - 53 million approximately - not everyone is due compensation; that said, the vast majority of these 53 million policies have been mis-sold to people.

However, the PPI mis-selling saga had been running for some time now and, say the banks and lenders, there is a state of apathy amongst the British public.

It is easy to see why. With the story of thousands of people claiming their money back almost looking too good to be true, many people assume that it is. After all, don't good luck stories happen to other people…?

Unaware

Although the FCA say there is going to be a marketing campaign to ensure that everyone knows about the deadline and how to claim their money back, many people are simply unaware that they have a claim.

This is because PPI was added to their accounts after they had taken out the credit product. This also happened with online credit card applications in which the 'opt in to PPI' box was already ticked. If you failed to read through the reams of small print, you were unlikely to come across it.

Will the PPI deadline of June 2019 happen?

There seems to be agreement that a PPI deadline will now happen and the FCA has muted the idea of June 2019. The banks want to impose a shorter deadline but consumer groups say that if a deadline must be imposed, the further away it is, the better.

But don't wait to make your claim for PPI compensation - call Payment Protection Scotland today.