Banking scandal rocks the financial world
by Russell Shackleford, 19th July 2011
PPI has been mis-sold to millions of consumers, but events over
the last few months have put them in the unique position of
potentially being able to claim back the premiums they have paid
for the ill-fated insurance policies.
PPI, or Payment Protection Insurance, is a form of loan
insurance which promises to ensure that an individual is able to
keep paying back a loan even if they should suffer a sudden and
unexpected drop in their income. It sounds like it could be useful,
which is why millions of borrowers were persuaded to take it out or
even had it added on to their loans without being told, or not
knowing that it was purely optional.
Unfortunately, for a large percentage of the individuals in
question, the policies they were sold were actually useless to
them. The problem with PPI policies is that, as with many other
types of insurance, a great deal of exceptions and loopholes plague
those who take them out. Ordinarily, this is not too much of a
problem, as people are not told to take out insurance that would be
useless to them in every circumstance - but this is exactly the
situation which victims of mis-sold PPI found themselves in.
It was discovered that banks and other financial institutions
had pushed PPI on customers who had no hope of ever making a
successful claim on the insurance - for example, those taking out a
loan while already suffering from an illness or not in full-time
employment. These people paid through the nose for expensive PPI
policies which were actually worthless.
Fortunately, a recent judicial review found against the banks,
and they have now been compelled under law to set billions of
pounds aside to compensate their customers for ripping them off so
badly through mis-sold PPI.
If you were mis-sold PPI, we can help you claim PPI
compensation today.
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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