28 August 2017
When looking to make a PPI claim, you'll come across a whole heap of key terms. It's helpful to know what they mean and how they will affect your claim.
This is a generic term, meaning that it is a general way of describing insurance policies that were sold to customers when they took out a 'credit product', that is when you borrowed money.
The idea behind PPI type policies is that they cover your repayments in the event you cannot make your repayments due to a disruption in your income such as illness or unemployment.
PPI was sometimes known by other names but were all similar type policies that we mis-sold to customers. Here are a few examples:
PPI Deadline - this has been set for the last Thursday in August 2019. This means that if you have been sold PPI and think you have a claim for compensation, you need to get your claim in NOW. Don't wait until the deadline as there could be a rush and that means your claim could take longer to resolve.
Letter of Engagement - This is a formal letter in which you, as the claimant grant someone else - such as claims management company - to represent you in a legal capacity. Some banks now have forms you have to complete, instead of writing a letter.
Letter of Authority - this letter you will be asked to sign by a claims management company or anyone else who is acting on your behalf to make a PPI claim. This letter signed by you, formally grants the company the right to access your personal information held by the loan or bank.
Loan Agreement Number - this is the unique policy number which your PPI policy will have been assigned by the bank or lender. If you have this policy to number to hand when you start making a PPI claim, you will save time. However, it is possible to start making a claim without this number as the banks do keep records.
Single premium - PPI was sold in two formats: firstly, you could pay for it on a monthly basis. These payments were usually for a fixed amount and payable by direct debit. Single premium policies, on the hand, charged for the PPI policy upfront in one single payment. This could present difficulties if you decided to cancel the cover provided by the insurance, as you would, in theory be entitled to a refund.
The PPI mis-selling scandal DOES affect you! Check all your loans, credit cards, store cards, catalogues and car finance products - any account in fact, on which you borrowed money - and check for PPI. And then call us!