How do you know if you have been mis-sold PPI? Many people are going to the banks and the Financial Ombudsman Service without even knowing if they have Payment Protection Insurance! This is the very first thing you have to find out. PPI comes is a variety of names like loan repayment insurance, Accident Sickness and Unemployment insurance, and a host of other things. The keyword in PPI is LOAN and REPAYMENT. If an insurance policy covers any loan repayments, it is most likely a PPI.
Once you have identified your PPI, the next thing you must do is to consider how you were sold such a thing. The only way you can get a refund of your PPI is if you can prove that the bank who sold you the policy has misconduct in the manner of selling it. The following is a list of some of the cases in which people were mis-sold PPI.
PPI Selling Misconduct
You may have been mis-sold PPI if:
- The banks told You it was a requirement for loans many people were misled to believe that they cannot take out loans unless they have some kind of protection for the repayment of these loans. There is a reason why there is something called CREDIT RATING, and that is because this is the measure by which people are gauged if they are qualified to take out loans. PPI is never a requirement for loans.
- The banks did not tell you about other sources of PPI some people were led to believe that they can only buy PPI from the bank that lends them money. They did not know that they could get PPI from other sources like insurance companies or other banks.
- You were unemployed/self-employed at the time of sale if you can prove that you were unemployed or self employed during the time you took out a PPI, you can easily make a refund.
- Pre-existing medical conditions people already suffering from an illness at the time of PPI purchase can make a refund, provided that one can validate both medical history and the purchase of the PPI.
- The bank did not explain the full terms and conditions of the PPI this is usually the case when the banks sold PPI as an attachment to the loans people took out. The PPI and the loans are usually prepared in a single contract.
These are the things that usually win against banks when you make a case for your PPI refund. If any of the above applies to you, do not hesitate to approach your bank, the FOS, or any claims company to help you with your PPI refund.