Many consumers were mis-sold PPI (Payment Protection Insurance) with retail finance with top brand store cards, home catalogue accounts and retail loans for the expensive consumer goods like sofas and tv’s. PPI was usually added to a customer’s policy by retail credit providers, in some cases without their knowledge. Some even rejected a credit application if PPI was refused by the customer.
However it wasn’t all bad news, as the PPI was was intended to protect borrowers’ from being unable to make repayments if they were unable to work due to illness or injury. The problem was how PPI was mis-sold by the retailers.
There are many examples of mis-selling PPI in the Retail Finance sector, where some customers were not even made aware by retailers that PPI was attached to their policy, and if the customer was made aware that PPI had been added, they were not informed it was optional.
There is a new type of complaint reason in relation to PPI, which now needs to be considered due to a 2014 court case (often referred to as ‘Plevin’). This court case ruled that, as over 50% of the cost of the PPI being sold to the consumer was taken as commission by the lender and they were not informed of this, it created an ‘unfair relationship’. Therefore, the FCA have now produced further guidance in relation to PPI complaints, stating that any undisclosed commission paid over the 50% ‘tipping point’ should be refunded to the consumer, along with interest, if this was not disclosed to them.
Types of Retail PPI
PPI on Store Cards
In the past, store cards were a lucrative option for high street stores. They were sold to those who were either unwilling or unable to pay for their products in one go, and made profit through those who failed to pay off the whole balance each month, attracting interest charges of between 18-30%. Unfortunately PPI was sold on many store cards.
PPI on Catalogue Accounts
A large amount of the accounts and credit services provided by catalogues are underwritten by other financial institutions. Some of these are not well known, but others are remarkably famous. Some of these credit facilities were provided by companies that have since been purchased by larger banks, and these banks are now responsible for handling the PPI complaints.
Latest PPI News
13th July 2019
Martin Lewis reveals why you URGENTLY need to make PPI claims - even for deceased relatives Mirror OnlineThe average payout is £3000 - but unless you check Very Soon you could be left with nothing at all. ...How to beat confusion over PPI claims as companies run down clock before deadline - The Times
12th July 2019
How to beat confusion over PPI claims as companies run down clock before deadline The TimesConsumers seeking compensation for mis-sold PPI insurance before the final deadline have faced obstruction and misinformation from lenders ...PPI claims ‘gone nuclear’ says bank - Gladstone Brookes
9th July 2019
PPI claims ‘gone nuclear’ says bank Gladstone BrookesThe last minute rush to make a claim for potentially mis-sold PPI before the claims deadline has 'gone nuclear' according to one bank official... ...9th July 2019
Martin Lewis warns people to ‘urgently’ reclaim thousands of pounds in PPI for dead relatives The SunRELATIVES of people who have passed away are being urged to check if they can reclaim payment protection insurance (PPI) wor ...Martin Lewis: How to URGENTLY reclaim PPI for a deceased relative - MoneySavingExpert
8th July 2019
Martin Lewis: How to URGENTLY reclaim PPI for a deceased relative MoneySavingExpertIt's enough to make even the Great Train Robbers blush. A staggering £30 BILLION of payment protection insurance (PPI) has had to be repaid, typi ...PPI deadline: How to check if you quality for compensation (one last time) - The Independent
6th July 2019
PPI deadline: How to check if you quality for compensation (one last time) The IndependentLook, we know. We know you're sick to death of hearing about payment protection insurance (PPI). We know that for years now you have been b ...Banks hit by wave of last-minute PPI claim inquiries - Financial Times
4th July 2019
Banks hit by wave of last-minute PPI claim inquiries Financial TimesSome companies have trebled mis-selling information requests as August deadline nears. ...Banks to submit PPI complaints for you that could gift you thousands - The Sun
2nd July 2019
Banks to submit PPI complaints for you that could gift you thousands The SunSEVERAL banks and building societies have agreed to submit PPI complaints for you to ensure August's claims deadline is met, and it could land you thousa ...Banks streamline PPI claims process for those checking if they ever had it - MoneySavingExpert
1st July 2019
Banks streamline PPI claims process for those checking if they ever had it MoneySavingExpertAt least six banks, building societies and credit card providers have agreed to introduce last-minute changes to their PPI complaints pro ...PPI claim deadline: FCA urges consumers to act NOW to reclaim - average payment is £1,700 - Express
30th June 2019
PPI claim deadline: FCA urges consumers to act NOW to reclaim - average payment is £1,700 ExpressPPI - or Payment Protection Insurance - has been mis-sold to some people in recent years. It's possible to claim back mis-sold PPI, ...PPI NEWS UPDATE – JUNE 2019 - Gladstone Brookes
27th June 2019
PPI NEWS UPDATE – JUNE 2019 Gladstone BrookesWith just weeks to go before the PPI claims deadline on August 29th the Financial Conduct Authority (FCA) has told potential claimants that Britain's... ...PPI – don’t let confusion stop you claiming - Gladstone Brookes
24th June 2019
PPI – don’t let confusion stop you claiming Gladstone BrookesConsumer champion Which? has been warning potential PPI claimants to not miss the claims deadline of August 29th because they feel confused about the... ...PPI claim: 9 in 10 people confused by this myth during reclaim process - were you aware? - Express
20th June 2019
PPI claim: 9 in 10 people confused by this myth during reclaim process - were you aware? ExpressThe deadline to submit a claim for mis-sold PPI is 10 weeks away, on August 29, 2019. This means that there is still time for those w ...
