Guarantees and Claims: the world of PPI compensation
It has been a game of cat and mouse, between the banks the regulator with consumer groups joining in the game at a later stage to stand up for the ‘ordinary’ customer. Already a potent mix, what ignites the PPI scandal further claims management companies but, not all claim companies were as good as they said…
The worst things ever…?!
Depending on what articles you read and where you will find differing opinions on the work of claim management companies (CMCs).
Some say that CMCs are not needed as people can make PPI compensation claims themselves and yet other people have said that reputable companies, like Payment Protection Scotland, offer a great service to many people.
And the reasons are very important.
- Debt, arrears and anxiety
There are many customers who have significant debts or may have found themselves in a less than positive relationships with banks and lenders due to arrears.
Some of these customers are uncomfortable about ‘going into battle’ with the banks and lenders to ask for their money back.
It can be helpful to have a ‘middle person’, an independent company that can act in the best interest of the customer when it comes to sticky things like claiming back money.
Without an emotional attachment and ‘with nothing to lose’, the CMC can push the maximum level of PPI compensation, something the banks have not always been keen in ensuring their customers get.
- Advertising, marketing and awareness raising
It has also been pointed out that many CMCs such as PPI Scotland have orchestrated well-planned and factual advertising and marketing campaigns that inform people of their rights to claim PPI compensation.
This is proving even more important with the announcement of a PPI deadline in 2019.
Banks and financial institutions in the early days of PPI compensation were not so forthcoming in informing customers of their rights, hence the work that some CMCs did to advertise how to go about claiming compensation helped thousands of people.
However, it also has to be recognised that not all CMCs advertised their services in the right way, making wild claims and offering untenable guarantees.
- Getting the maths right
And, it seems that some highly reputable CMCs, such as Payment Protection Scotland are quite good at maths, accurately calculating by following the correct formula, the correct amount of PPI compensation its customers should be receiving.
It was a CMC who pointed out that banks and lenders were not compensation costs and fees incurred as a result of PPI being added to customer accounts. That led to thousands of people receiving even more back in PPI compensation than they first thought.
Do you need help with your PPI compensation? If so, Payment Protection Scotland offer a great service - why not call?