Banks forced to pay out on insurance scam
by Russell Shackleford, 22nd July 2011
The aftermath of the PPI scandal has led to millions of
customers being compensated for the money which they lost due to
the banks widely mis-selling Payment Protection Insurance.
The fact is that billions of pounds have been set aside in order
to compensate wronged consumers for the wilful loan insurance
mis-selling by the banks, in one of the greatest financial scandals
of recent years. A great many borrowers were burdened with
expensive insurance policies which, it later transpired, were
useless to many of them.
Some people were told that they would need to take out a PPI
policy if they were to get a loan, while others were not informed
that they were paying for the insurance at all. This led to
millions of people paying out for policies which were not suited to
them - a great money-spinner for the banks, but certainly not good
value for consumers, who found themselves at a loss.
Many customers did indeed find that, when trying to make a claim
on this loan insurance which the salesman had pushed on them so
readily, they actually were never covered by the PPI policy in the
first place due to exemptions in the small print, making it
completely worthless to them and something which they should not
have been sold at all.
As this great rip-off became more and more apparent, many people
complained to the financial institution who mis-sold their PPI,
only to be fobbed off with jargon, excuses, or even a complete
ignoring of the problems which led them to complain.
Fortunately, legal proceedings soon began, and while it was the
British Bankers' Association which initialised them, it ended with
their defeat, and with the Financial Services Authority triumphant,
hence signalling an equally victorious result for consumers, who
were now entitled to claim back any money they lost to the menace
of mis-sold PPI.
If you suffered from mis-sold PPI, we can help you make a PPI
claim.
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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