How to claim your PPI compensation
Over £10 billion has now been paid out, but it's not too late to claim compensation if you think you were mis-sold payment protection insurance.
Regulator the Financial Conduct Authority has revealed that more than £10.5 billion has now been paid out for the mis-selling of payment protection insurance (PPI).
If you think you might have been mis-sold PPI, it's still not too late to claim and you don't need a claims management company to do it for you.
What is PPI?
The trouble is banks were covertly bundling PPI in with other credit products and flogging it at massively inflated prices to customers who didn’t really need it. At the height of the boom years it’s estimated that the banks were pocketing billions every year from the mis-selling of PPI.
How to claim PPI compensation
Banks were forced to review all past PPI sales following a High Court case.
So if you think you’ve been mis-sold PPI, here’s how you go about claiming it.
You’ll be asked to fill out a questionnaire detailing your case, covering things like when you took out the policy, whether you realised you were taking it out at the time, how you paid for the policy and whether you’ve ever attempted to make a claim.
The FOS will then determine whether you have a case, and look at whether you deserve some form of redress.
Claims management firms
Each year the FOS notes just how many cases it deals with are represented by claims management firms. These firms charge to represent you, in some cases as much as 25% of any compensation you may receive.
But they don’t do anything you couldn’t do yourself, nor does using such a firm make it any more likely that you will be successful! For more on why you should give claims management firms a miss, check out Got a complaint? Avoid this rip-off!
This article has been updated to reflect recent developments