Is PPI Really the Windfall That People Say it is?!

Claiming back your money after being mis-sold payment protection insurance (PPI), is something that can make a huge difference to your life.

We are cautious, however, as there is the saying that if it feels too good to be true, it probably is. With all these amazing stories of people claiming back thousands of pounds in compensation for mis-sold PPI, it can create a vacuum in which people think that claiming back PPI compensation is a good luck story that happens to other people.

But, it really is a process that can see you better off – by hundreds of pounds, if not thousands.

And here’s how;

Number of accounts

Take a look at the amazing stories of people claiming back tens of thousands of pounds, and you will notice several similar traits, one being that they had more than one account with PPI added to it.

In other words, the effect of multiplying the monthly premiums of all PPI products that were sold to them meant that the final compensation figure was high.

Type of account

In many cases, people who received a large windfall also found that their credit card accounts had PPI added to them. This meant that the premium they paid on a monthly basis varied each time, If their credit card was close to the limit for example, the premium, calculated as a percentage of the total amount would vary.

Over time, this adds up and hence, their PPI windfall would be fairly sizeable.

Time

A third commonality among these cases is that the accounts had been open for a long time, with customers paying for PPI for a long time too. This was apparent in the case in which a businesswomen won back PPI compensation of £84,000.

Her credit card accounts, of which she had two, has been close to their limit a few times over the years that she had had them. In effect, by the time the PPI compensation was worked out for both accounts, she was owed a lot of money in compensation.

Fees and costs

A fourth factor that can boost compensation amounts are the fees and costs that can be added to them. This is something that has become more apparent in recent months as some customers have been short-changed.

Compensation is a process by which a consumer is put back to the financial position they would have been in, had they not been sold PPI. This, therefore, includes any costs and fees incurred as a result of the policy being added to the account.

Do you have a claim? How much do you think it is worth?

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