PPI is effectively an insurance policy to cover your back if you become unable to meet your repayments to your creditors through no fault of your own. For example if you become ill or suffer an accident that makes it impossible for you to earn enough money to repay your debts.
The problem comes with eligibility, PPI has been sold unscrupulously by banks and lenders over the last ten years which has led to mass compensation claims being levied against some of the biggest banks in the UK, inluding Alliance and Liecester, Lloyds and HSBC. If you have PPI added to your account without your knowledge or consent then you could claim back on average £3000.
Have you been mis-sold PPI?
Generally PPI has been mis-sold because of a number of reasons:
- The saleperson neglected to tell you that PPI was optional
- The salesperson did not tell you that PPI could be found elsewhere
- The salesperson told you that having PPI would improve the chances of your application being accepted
- You were unemployed, retired or self employed when taking out the policy
If any of these apply to you then the chances are that you have been mis-sold PPI and could claim thousands in compensation.
