Glasgow: 0141 844 0017 * Edinburgh: 0131 224 0094 * Lanarkshire: 01698 286 463

Archive for tag: PPI Deadlines

PPI, the 2019 Deadline and Your Money

The Financial Conduct Authority, the regulator of the banking and financial industry in the UK, is cutting off compensation claims for mis-sold PPI.

This means that after August 2019, you will not be able to make a claim for PPI compensation for a PPI policy sold prior to spring 2017. If you felt you were mis-sold PPI recently, this is not subject to the deadline.

There have been many changes over the years which now mean that there are key points you need to bear in mind now that the deadline for PPI compensation claims has been confirmed:

#1 Just having PPI means it was probably mis-sold

The outcome of the Plevin case - a customer who argued that by not being told the vast amount of commission her broker was being paid, meant she was duped into buying an overly expensive policy - now means that most people were mis-sold PPI.

Staggeringly, 67% of loan PPI was paid in commission and interest which means that you were paying for others to line their pockets. And because the bank didn't tell you, the courts have now ruled that this is another reason why PPI was mis-sold.

This effectively means that billions more is owed to customers across the UK but with many people still struggling to make a PPI compensation claim, it seems unlikely that everyone will get all their money back.

#2 The deadline may seem a long way of but…

… get your complaint made now and beat the queue! The activity around PPI compensation claims is likely to build as the deadline approaches.

The FCA has also promised an all-encompassing promotional campaign to make people aware of the impending PPI deadline and what they can do to claim their money back.

#3 There are still concerns relating to vulnerable people and their claims

From people with debt to people with learning difficulties as well as the elderly, many consumer groups have raised concerns that the deadline will adversely affect people who may not be able to make a claim.

The FCA has promised it will look at the process and ensure that everyone with a claim gets their money back and that it does not come down to people who 'can' and people who 'cannot'.

#4 Don't assume 'it's not me'

People from all walks of life were mis-sold PPI on loans, credit cards, catalogues, store cards and more. Sometimes, PPI was added without your consent or your knowledge. 

And when it was knowingly sold to you, there were many things the bank or lender did not tell you about the policy. Although it was not the policy at fault, the way in which it was sold and the extortionate premiums made it a problem.

#5 A typical payout Is around £3,000

What are you waiting for? Start your claim today.

Is a PPI Deadline Needed?

The proposal of a June 2019 PPI deadline by the Financial Conduct Authority (FCA) has led to arguments and counter-arguments relating to whether this should happen in the first place. But who is saying what? And what is the likely outcome?

I don't think the banks have any rights to be calling the shots when it comes to how, when and why people claim PPI compensation…

This is the tough line that some consumer groups are taking, in defence of the man and woman on the street. They feel that the banks and lenders knowingly and willingly took advantage of their loyal customers, in order to create vast profits. Sales representatives were given huge financial incentives to meet ambitious sales targets and thus, the banks, they say, are not in a position to suggest, support or advocate a PPI deadline.

June 2019 is ages away. Why not do it sooner?

According to some sources, under half of the people who have a claim for PPI compensation have made a claim, around 40% approximately. That means there is still a large chunk of the adult population across the country yet to make a claim.

The problem is twofold, or so experts tell us;

  • Apathy- frankly, the PPI saga has been rumbling on for some time now and thus, many people are simply blind to the whole thing. There is also the sense that it is too good to be true, hence many people assume that a PPI windfall is something that happens to everyone else but themselves.
  • Not knowing- frankly, many people are unaware that they have a claim. For example, you may think that you don't have PPI as you would have remembered buying an insurance policy… or would you? What happens if we told you that you had been paying it all these years on the credit card that you have?

So, there is going to be a big push on PPI claim? Won't that make the situation worse?

The FCA are aware of the need for a marketing campaign that reaches all sections of society, from the lady living in sheltered accommodation to the busy working people in the city.

PPI is not a problem that affected a certain group but how some people respond to things will change from one person to another, depending on their age, gender and so on.

The reason why the FCA are suggesting June 2019 is so that they can get their marketing campaign organised. In other words, they need to do some research as to how they can reach everyone, ensuring they have the information they need to make a claim for PPI compensation before the deadline.

Why wait? Call Payment Protection Scotland today.