PPI Claims – Billions set aside
About 45 million policies were sold over the course of 20 years from 1990 – Millions of people have already completed their questionnaires and been compensated and banks have set aside more than £40 billions set aside to cover the payouts and it is believed that many more are yet to come forward.
The figure is expected to grow as complaints continue to be raised, says Citizens Advice.
The scandal saw millions of customers mis-sold insurance policies they were told would protect them against losing their jobs or falling ill.
The policies were supposed to pay off any outstanding loans or mortgages, but many people did not need the policies in the first place, and others were unaware they were even paying for them. Some people were also sold PPI even though their circumstances meant they would not be eligible to claim. So, should these claims be re-assessed?
The impact of PPI has been so significant that in 2012 the OBR stated its economic growth forecast of 0.8% over two years would be mainly due to the impact of PPI fee repayments as people spend their payouts, the major banks have billions set aside for this purpose.
In recent months major banks have said that they are now putting increased sums of money away to cover upcoming PPI compensation payouts.
As well as mis-selling PPI, the Financial Conduct Authority (FCA) has fined some banks for mis-handling people’s complaints. In previous years Lloyds has been fined a record £117 million for mis-handling.
“While regulation and banks’ approach to customer service has improved in recent years the seismic failings around PPI should serve as a constant reminder that firms cannot get away with ripping off customers,” commented Gillian Guy, Chief Executive of Citizens Advice.
At Scottish PPI Expert, we believe the customer deserves the right to a good Solicitor when making a claim, so if you wish to instruct us in any of these matters please e-mail myself who Colin Peter Carr who is a Solicitor and Director of Scottish PPI Expert and Carr Berman Crichton and supervises these cases from our Glasgow Office. We can deal with cases throughout the United Kingdom.
Anyone seeking compensation over mis-sold payment protection insurance (PPI Claims) will now have to make their claims before 29 August 2019. This is the final deadline has been set by the Financial Conduct Authority (FCA) in an effort to draw a line under one of the banking industry’s biggest scandals. If you are thinking of applying, and there are still billions set aside make sure you do so well in advance as we expect that there will be a rush just prior to the deadline date.