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Is mis-sold PPI a thing of the past?

New regulations could spell an end to loan insurance fraud

by Russell Shackleford, 11th August 2011

Mis-sold PPI may have met its maker, with tight new regulations on the loan insurance spelling an end to the ability of greedy bankers and insurance brokers to mislead the public over the truth behind this much-maligned insurance coverage.

Millions of people recently discovered that they had been lumbered with these unpleasant loan insurance policies, figuratively paying through the nose for what was literally an albatross around their necks. It is due to this that the Financial Services Authority made new rules regarding PPI in order to limit its mis-selling, placing strict regulations on the banks and other insurance brokers to ensure that they were unable to continue this wretched endeavour.

Another aspect of the rulings on mis-sold PPI, particularly after the judicial review which went against the banks' interests, is that a total of billions of pounds has been set aside to ensure that customers who were wronged by their lenders are able to claim the appropriate amount in compensation.

The sum claimable by individuals who were mis-sold PPI is equivalent to the amount they outlaid for their insurance premiums, as well as a sum of additional compensation to represent the amount of money they were likely to have made had they invested that capital elsewhere. Additionally, those who attempted to make a PPI claim and failed as a result of the policy being mis-sold may even be able to take their case to court in order to claim the sum that the insurance would have paid out had they been successful in their claim.

Hopefully these regulations will effectively act to limit the mis-selling of PPI, rather than allowing the banks to simply find another loophole via which they can exploit loan insurance to line their own pockets. One thing is for certain, though, the financial watchdogs are on the side of the consumers - and you could be owed thousands.

If you'd like to make a mis-sold PPI claim, we can help you reclaim PPI today.

Claims Financial

Testimonial
"I just had to put pen to paper and write to say I'm more than delighted with my settlement that you won me back from my PPI I had with Lloyds TSB. The Claim Forms were simple to fill in. It was a breeze"
Mr R Evans 11 Nov 2010
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