Payment Protection Insurance is an insurance that normally comes along with credit cards or loans, which are distributed by the banks. Most lenders tend to include and or offer PPI’s within the said loan. This insurance policy offers the ability for the borrowers to pay their debt in case of a downtime; loss of job, personal injury etc.
When obtaining PPI, you must have extensive knowledge on how this particular policy works. The better your knowledge, the better you can understand PPI claims. The existence of these loans is highly popular but unfortunately most lenders are applying these policies without the knowledge of the borrower. Which in turn means that most people are paying out on an insurance they have no clue about. Not knowing about these PPI insurance policies can cause you to not take advantage of the PPI claims that come along with having this type of insurance without knowledge.
PPI claims are important to people who have been offered something without knowledge. Determining the basis behind a mis-sold PPI is a situation that will allow you to claim your paid out funds.
If during the time of the loan you weren’t confronted about a PPI, a PPI reclaim can be done. If you can ensure that a PPI was wrongly issued to you without knowledge, your PPI claim will be compensated with interest.
How to Claim your PPI
Even though it’s a great thing to include a PPI to your loan, it’s even better to know that you have done so. If you are looking for a way to claim your PPI, there are a few steps you can take to make this happen.
- Make sure that you actually have payment protection insurance, before you begin a claim.
- Be sure that you can receive a refund. Your policy must be within the last six years of expiration. Most lenders don’t keep paperwork after the 6 year mark. So, it will be important to have your own paperwork on hand if your policy goes back further than 6 years.
- Understanding how the loan was offered to you is important. Check to see if a “cooling-off” period was offered, as well as terms and conditions. Not knowing the reason it was sold can help your claim see success.
- The first person to approach for your claim is the bank and or lender who sold you the policy. If you are denied, you will want to get a deadlock letter and in turn take it to the financial Ombudsman Service. You can also use the help of a claims company who will help get your money on your behalf without you having to worry.