More and more money has been paid out by banks to cover all the mis-sold Payment Protection Insurance policies in the UK.
Regularly, it is very simple to claim your money back. You only have to follow several simple steps. It is not necessary to hire a specialized claims management company, because you can do it yourself given that you have some time. Anyhow, the recent downside has been about the sums obtained. Bank clients found that they got only part of what was owed to them.
The Alternative Redress
Single-premium PPI has enabled the use of the alternative redress. The bank deduces the price of a regular policy and in the end doesn’t return all the money it was supposed to. It retains part of it by employing this financial trick. Let’s say you had a more costly PPI policy. This one was replaced by the bank with a less expensive one, so it can still drag some money onto its side.
Whether you have a claim or not, you should ask the lender for a full refund. This scheme has been already getting well known thanks to the media exposing it. Refusals from the lender mean you can bring your case to the Ombudsman service for a better solution.
Avoid claims management companies
We mentioned these companies because there are countless of them taking advantage of the current situation. They are even using cold calling to find more people with possibly mis-sold PPI, which is getting severely annoying. While these companies can be helpful indeed, when you win you have to part with a significant part of the obtained money. This is the service fee they take and it can leave you very dissatisfied.
The alternative: start claiming it on your own. First of all, you must check whether you have PPI or not. Services like Haveigotppi.org.uk are most useful at this stage. Then, you need to use an online PPI calculator to know the amount to be expected.
Thus, there are two ways to retrieve the entire value of your PPI policy: by claiming yourself instead of hiring someone else to do that on your behalf and by asking for a full refund. In any complicated or displeasing situation, the Financial Ombudsman Service is there to offer help. There should be nothing to stop you from getting back every penny you spent unaware on a policy you did not need.