Have you heard about the upcoming PPI deadline? Earlier this year, the Financial Conduct Authority (FCA) announced 29th August 2019 as the deadline for making a PPI claim. If you’ve seen Arnold Schwarzenegger’s head on the TV telling people to “do it now!” then you’ve seen the campaign to promote the deadline.
The deadline has been put in place to encourage people to claim PPI if they haven’t done so already. The PPI scandal has cost the banks billions of pounds and there are still thousands of people who are due a PPI refund, it appears the message hasn’t got through to a huge number of those potential claimants.
Research conducted by PPI claims specialists Canary Claims discovered that only 16% of the UK population know the actual date of the deadline. While everybody is hurrying to get their Christmas shopping done, 2019 seems like a long way away. But, starting your claim sooner will mean you receive your money sooner.
Here is some guidance on how to claim PPI and answers to questions you might have.
How to Claim PPI
Making a PPI claim is actually a very simple process, which has allowed thousands of people to already make a claim. As part of the PPI deadline promotion, the FCA has set up a dedicated website for those who have questions about PPI and the deadline.
To claim PPI you will need details of your credit card, loan, mortgage or other product that you believe PPI was mis-sold on. However, even if you no longer have the paperwork or details, it is still possible to make a claim — even if you bought the product 20 years ago.
A creditor or PPI claims company will be able to obtain the information about your account. Once you know the details, you can then find out if PPI was added to your product. If it was and you believe that it was mis-sold, you can make a claim.
Should You Use PPI Claims Companies?
As of April 2018, PPI claims companies will only be able to charge 20% + VAT for their services and fees will not be charged before a claim has been made. This news seems to have gone unnoticed, but it’s a huge win for many consumers who are often charged over 30% by a claims management company.
There are a number of reputable PPI claims companies who already offer their services for less than 20%. These companies take the hassle out of making a claim. Christmas is a busy time and using a claims management company means somebody else — a professional — can be left to deal with communication with the bank.
If the claim is successful, the company will take a fee for their time and you’ll be left with the rest of the refund for your own bank account. It’s a great option for those who are busy or simply don’t want to deal with the bank communication.
What is Plevin?
You may have heard the Plevin case being talked about in reference to making a PPI claim, but what exactly is it? The Plevin PPI case shed new light on the PPI scandal, as it identified a new way in which PPI was mis-sold to customers. Many customers who were sold the insurance were not told how much commission was on top of it. In the case of Mrs Plevin, 71% of her PPI insurance was a commission.
Under the Plevin rule, if over 50% of the PPI was a commission to the lender and this was not disclosed, this counts as misselling. The average bank commission was 67%. This means a lot of people could make a claim under the Plevin ruling. Even if the bank has previously rejected your PPI claim, you can now try again.
With 19th August 2019 getting closer every day, it’s important to start your claim PPI now. So many people think it wasn’t them, but it could be you. Find out now before it’s too late.