Wronged customers claim on mis-sold PPI

Banks profits hit by compensation claims

by Luke Whitmore, 8th August 2011

Billions of consumers are applying to their banks to claim back money that they lost as a result of the systemic mis-selling of PPI.

After a judicial review which plonked the responsibility for compensating customers firmly into the laps of all the major banks, billions of pounds were put aside to ensure that wronged consumers were able to make a mis-sold PPI claim, with these provisions hitting the profits of the banks heavily. Borrowers are now beginning to make their claims for the compensation to which they are entitled, and some banks have even decided not to assess the claims on any terms of merit but simply to automatically settle any cases which were submitted prior to the end of the judicial review.

PPI, or Payment Protection Insurance, was widely mis-sold alongside loans by the various high-street banks - often granted to people who should never have been sold the cover in the first place because they were not eligible, which only became apparent to many of them when they attempted to make a claim and found that it was impossible.

Due to this shameless mis-selling by various financial institutions, PPI acquired something of a bad name, due to the fact that a vast percentage was mis-sold and a great many customers essentially scammed out of their money by recalcitrant banks and other PPI brokers. Fortunately, justice is just now being done for these consumers, and most of them are finding that they are able to claim back the cash they paid out for their PPI premiums, as well as an additional sum for compensation (based on terms laid out by the Financial Services Authority).

The banks may be facing a time of reduced profits and shamefaced apologies, but it is fortunate for their poorly-treated customers that they are finally able to reclaim their funds.

If you were mis-sold PPI, claim for PPI compensation now.

Claims Financial