Welcome to PPIGuru.co.uk
Claiming back mis-sold PPI has been all over the news for a while now and many people have successfully been through the process and received their claims. However, many more have yet to claim back what is rightfully theirs and think that it must be complicated. This website is here to help the people that haven’t yet claimed realise that claiming PPI isn’t as difficult as it seems and with a bit of effort on your part you too could get a refund.
How To Claim PPI Back
There are two main ways to get a refund; ‘Do It Yourself’ or use a PPI claims company.
For most people the best route to take is doing it yourself by obtaining a claims form from your bank or finance company, filling it in and sending it back to them. To do this you can either go into your branch or download the form from their website. Most of the big banks and lenders have a web page dedicated for this and give full instructions on how to start the process. Martin Lewis PPI page on Money Saving Expert has a generic letter and form you can download and use if you have trouble getting one from your bank.
Doing It Yourself
- You keep all the refund
- Easy to do
- Just fill in form and return
- No hidden fees
Using Claims Company
- They can tell you if you can claim
- They handle the claims process for you
- Expect to pay around 10% commission
- Call them anytime for advice
PPI stands for Payment Protection Insurance and is a financial product that was sold with loans, mortgages, store and credit cards by most of the mainstream banks. It protected people that had it by covering the cost of loan payments if they were unable to because of loss of job, illness, injury or death. In a nutshell, if you couldn't pay because of one of the aforementioned reasons the insurance company would pay it for you until you were able to again, unless obviously if you died, in which case your loan would be paid off.
It was mis-sold because most people didn't know it was actually an option and not a necessity. The banks and credit card companies often included it with loans and other borrowing.
The majority of people that have Payment Protection Insurance on their finance products (i.e. loans) can attempt to claim it back because they weren't told it was an option and thought it was compulsory.
That really depends on whether or not you can prove you were actually mis-sold it in the first place. Circumstances such as being self employed, unemployed or retired, will usually be grounds for claiming, providing your particular policy doesn’t account for such things. Don't worry they usually don't!
Read through your policy carefully, not forgetting the 'small print', to see if there is anything that might indicate you weren’t eligible for the insurance to begin with. If you're the kind of person that hates reading terms and conditions then maybe you can ask a friend that does. If not, a claims company might suit your needs as they will investigate your PPI policy and let you know if something can be claimed. We recommend claiming back PPI yourself but sometimes it may be easier to get a professional to do it.
You can expect a success rate of PPI refunds to be about 60% to 70%, but his is a general figure and may change over time.
In the early days of PPI claiming using a claims management company was not a bad idea. Due to the banks and finance companies 'dragging their heels' there wasn't much information available about how to do it yourself. Stories online of people getting rejected and having to battle their way to a refund were commonplace. Martin Lewis was one of the first people to provide a template letter to write to you bank, which made things a lot easier.
Now, claiming yourself is easy as banks actually provide a claim form on their websites or in branch. You can just fill it in and send it back. Sometimes you can do it online through email.
Doing it yourself will also let you to keep all the money whereas a claims company will usually want a percentage of the winning claim or an upfront payment, sometimes both!
Of course, many claims management companies have improved over the last few years and some do offer a good service for those who are totally confused or just want to get some money back without 'going it alone'. So it might still be worth at least checking them out.