21 December 2015
Did you know that the store card you have for well-known high street shops could have a PPI policy lurking in the background?
Payment protection insurance (PPI) was not just a policy that was applied to and sold alongside credit cards, loans and so on. It was applied to all manner of 'credit facility' accounts including specific products such as car finance deals and store cards.
In some ways the product was not at fault but, financial experts and consumer groups have since highlighted the poor value for money that PPI represents. In other words, for the level of cover that it offered, it was incredibly expensive.
The other major problem with PPI was the way in which it was sold to customers:
Many well-known high street department stores, backed by equally well-known financial institutions and banks, offer a type of credit card facility to customers. In other words, you can spread the costs of your purchases over a period of months.
This makes buying expensive items far more attainable and affordable. Unfortunately, many people bought these cards quickly and without being fully advised as to the PPI that was added on to the account.
If you bought the card at the till, with a large queue behind you, you were probably unwilling to read the raft of small print and check what that ticked box meant at the bottom of it all…
I. Check all the paperwork relating to your store cards and look for any kind of insurance policy that protects repayments
II. If you find a PPI policy, contact PPI Scotland and tell us why you believe you were mis-sold the policy
III. With your permission, we will make representation to the store card financial company that you are entitled to compensation
Do you have a store card? Do you have a PPI policy?