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
Victory for 100,000 who were trapped in unsellable homes by toxic leasehold deals - Daily Mail
18th March 2019
Victory for 100,000 who were trapped in unsellable homes by toxic leasehold deals Daily MailJoanne Darbyshire, above, and her husband Mark bought their £400000 house leasehold in 2010. Government figures suggest there are 4.2 mi ...Genworth Drags Santander Units Into AXA's £265M PPI Claim - Law360
18th March 2019
Genworth Drags Santander Units Into AXA's £265M PPI Claim Law360Genworth Financial Inc., which is being sued for nearly £265 million ($351 million) by rival French insurer AXA SA over a missold insurance product, can seek to .. ...15th March 2019
Millions still owed for PPI compensation - make sure you don't miss the application deadline Daily RecordScottish based company Confidential PPI Claims are making it easy for people to claim the compensation they are owed for mis ...It's the final - PPI - countdown - South Wales Argus
15th March 2019
It's the final - PPI - countdown South Wales ArgusTHE guillotine on reclaiming PPI is being oiled, ready to slice down and stop payouts soon. To assume 'I'm not due owt' could be expensive.… ...Firm fined record £124000 for sending millions of misleading letters - Law Gazette
14th March 2019
Firm fined record £124000 for sending millions of misleading letters Law GazetteThe Solicitors Regulation Authority has issued its biggest ever fine, against a business which sent six million marketing letters containing mislead ...Record fine for law firm acting on mis-sold PPI claims - Legal Futures
13th March 2019
Record fine for law firm acting on mis-sold PPI claims Legal FuturesA law firm that specialised in mis-sold payment protection insurance (PPI) cases has been fined a record £125,000 for a raft of rule breaches, including sending ...Carphone Warehouse fined £29.1 million for mis-selling Geek Squad insurance - MoneySavingExpert
13th March 2019
Carphone Warehouse fined £29.1 million for mis-selling Geek Squad insurance MoneySavingExpertThe Financial Conduct Authority has fined Dixons Carphone £29.1 million for mis-selling a mobile phone insurance and technical support ...Why should I make a PPI claim? - Gladstone Brookes
12th March 2019
Why should I make a PPI claim? Gladstone BrookesWith just six months to go before the PPI deadline on August 29th, millions of potential claims remain to be made with banks setting aside billions of... ...PPI claims deadline – six months and counting - Gladstone Brookes
11th March 2019
PPI claims deadline – six months and counting Gladstone BrookesThe PPI claims deadline is now just six months away and if you are one of the millions of people with a PPI policy and you haven't made a claim for... ...It’s the final countdown for PPI claims – Martin Lewis - The Scotsman
9th March 2019
It’s the final countdown for PPI claims – Martin Lewis The ScotsmanThe PPI clock's ticking but it's easy to check so don't assume you are not entitled to anything, says Martin Lewis. ...8th March 2019
Former banker vows to help Dundee folk claim back cash lost from poor pension advice Evening TelegraphA former banker has vowed to help the people of Dundee claim back cash lost from poor advice on their pensions. Mike Begg, dire ...AXA Boosts PPI Claim Against Genworth By £236.5M - Law360
7th March 2019
AXA Boosts PPI Claim Against Genworth By £236.5M Law360French insurer AXA SA has dramatically raised the value of its claim involving missold payment protection insurance against U.S. rival Genworth Financial Inc. ...Martin Lewis Money Saving Expert: How to claim back HUNDREDS in council tax - Express
7th March 2019
Martin Lewis Money Saving Expert: How to claim back HUNDREDS in council tax ExpressMARTIN LEWIS Money Saving Expert gave council tax advice to Britons today. He revealed on Good Morning Britain there's over £230000000 to reclaim ...
