5 Top Reasons Why PPI Was Mis-sold
Payment protection insurance (PPI) is by far, the most complained about financial product in British banking history. Over 30 million policies were mis-sold to thousands of customers who are all claiming their money back.
There are many reasons why PPI could have been mis-sold to you but if you are unsure whether you have a case for PPI compensation or not, browse the top five reasons why PPI was mis-sold…
There is some confusion over whether PPI covered you in the event of self-employment or not. In many ways, this is because the terms and conditions were not explained in detail.
For example, to have any chance of a successful claim against the policy, you would need to close your business. The regulator believes that if self-employed customers had known this, they would not have bought the policy.
#2 Pre-existing medical condition
Second in our top 5 list of PPI mis-selling reasons comes down to the health section of the terms and conditions.
For those with a pre-existing medical condition, they may have been under the impression that this condition was covered by the policy. However, attempt to make a claim against it as a result and you would be frustrated to find this was not the case.
Would you have bought it, knowing that a medical condition was not covered?
#3 Did not suit your circumstances
This is a catch-all reason, in some ways, because the selling of PPI was done in such a way that the actual individual circumstances of a customer was not taken into account.
For example, part time employment was not covered by the policy. Even though the bank may have known you worked less than 30 hours a week, they still sold the policy to you.
Likewise, couples to had a loan in joint names are surprised to find that the PPI policy only covered one of them.
#4 You thought it was a compulsory purchase
Unfortunately, fourth on our list is the belief by some customers that the purchase of PPI was compulsory or that by buying it, it placed their application for a loan and so on in a better light.
Loan decisions are made on your credit score, as well as purpose and affordability and should not rest on whether you buy additional products or not. If you feel you were given the impression you had to buy PPI, contact us to talk this through in more detail.
#5 Unware you had it
And finally, many of our customers were surprised to find that they even had PPI as they had no recollection of asking for it or agreeing to a PPI policy being added to their account. Has this happened to you?