31 August 2016
Claiming compensation for mis-sold payment protection insurance
(PPI) should not be difficult but sometimes, the words and jargon
used can be confusing. We explain some of the terms you will come
across and what they mean;
- Letter of complaint- when the PPI compensation saga first came
into the public domain in 2011, many banks were not pleased at the
prospect of paying thousands of pounds in compensation. To claim
your money back, you had a write a letter of complaint, detailing
why you felt the policy was mis-sold to you. Today, many banks and
lenders have forms that you complete, in some cases making it
easier to claim PPI.
- Deadline- there has been a lot of talk recently relating to a
deadline. By this time, anyone with a claim for PPI compensation
should have made their case to their bank or lender. The FCA has
announced it could mean all cases need to be resolved by June
- Financial Conduct Authority- the FCA is the body that regulates
the banks. It monitors what they are doing and how they are doing
it. If they are not following the strict rules, the FCA can fine
the banks, lenders and other financial companies it regulates.
- Financial Ombudsman Service- FOS has been very busy too with
PPI compensation claims. This is the organisation that looks at
disputes between customer and bank. They deal with all kinds of
products and issues, not just PPI. Before you contact FOS for help,
you have to approached your bank first.
- Financial Services Authority- the FSA was the regulatory body
that was around when the PPI scandal broke back in 2011. Many
people believe that the PPI mis-selling scandal would not have
happened in the FSA had had more power at the time. It does now,
but is now known as the FCA.
- 'Which?' - this is a consumer organisation that protects and
promotes consumer rights. They first raised the possibility of
mis-selling of PPI, it's poor value and so on back in 1998. They
persevered with their research, finding that 2 million people had
been sold PPI when they would be unable to claim on it. They also
found that 1.3 million people bought PPI believing it would help
them get the credit card they had applied for.
- Redress- this is a word that is sometimes interchanged with
compensation. It means the same thing; if you have been mis-sold
PPI, you are entitled to redress. In other words, you can claim
your money back, fees, costs and interest too.
If you think you have a claim for mis-sold PPI, then you need
the right people on your side. Contact Scottish PPI Claims today!