The August 2019 IS PPI Deadline 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 August 2019 PPI deadline and what it means.
Is there a deadline in place?
Yes, there is. Back in 2017, the Financial Conduct Authority announced that after consultation with banks and consumer groups, they were of the opinion that imposing a PPI deadline was the right thing to do for all concerned.
Banks wanted a sooner-than-later deadline but the FCA gave consumers 2 and a half years notice that a PPI deadline was imminent. As we publish this article, you have just over 5 months to make your complaint for PPI that you believed was mis-sold to you.
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 £33 billion, in fact, thus far. And there are more claims to be made.
Is everyone in favour of the August 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 August 2019, the system will be flooded and possibly unable to cope with the volume of PPI compensation complaints. PPI complaints have been steadily increasing and there is still concern that there will be an avalanche of claims in the weeks to come.
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 August 2019 and then decide not to pay customers.
Banks are not in favour either. They would have preferred 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?
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 August 2019 PPI deadline – start your claim today. Call Payment Protection Scotland today!