What is PPI?
PPI stands for Payment Protection Insurance and is an insurance policy specifically created to help you keep up with your loan, credit card or hire purchase repayment if you find yourself unable to work due to an accident, sickness or unemployment. These policies are often sold alongside your mortgage, loan, credit card or store card.
How was it mis-sold?
PPI was systematically mis-sold by banks and lenders. If you answer “yes” to any of the following questions you may have been a victim of mis-selling and eligible for a refund.
- Were you pressured into taking out PPI?
- Was it not made clear that PPI was optional?
- Were you advised to take out PPI even if it was not suitable for you?
- You believed buying PPI was a condition of obtaining a loan, credit card or mortgage?
- Significant exclusions such as being self-employed or pre-existing medical conditions were not explained to you?
- Was the policy added to your loan without your knowledge?
- It was not made clear that you would pay interest on the cost of PPI if it was added to the loan?
- it was not made clear that the PPI cover would end before the loan or credit was repaid.
Note: There are other reasons why PPI may have been mis-sold. If you are unsure whether your policy was mis-sold you should call us on 0800 408 3847 or complete the form on this page to start the claim process.
How big is the problem?
The PPI scandal, the biggest to have hit the UK financial market in history, has already seen £8.9bn paid out between Jan 2011 and Jan 2014. The problem isn’t going away and in Feb 2014 Lloyds increased its provision by £1.8bn to nearly £10bn.