Mis sold PPI claims

The concept of payment protection insurance is a very good one and if sold in the correct way having understood the requirements of the customer it has a place in the financial world.

Payment protection is normally sold along side finance agreements such as loans, mortgages, credit and store cards.

Unfortunately in a large majority of cases mis sold ppi is common place.  The FSA grew concerned about the market and conducted a review of the sales practices of both high street lenders and insurance brokers.  You should not be surprised that many of the leading high street banks routinely mis sold ppi.

Alliance and Leicester were fined £7 million pounds by the fsa for failings in their telephone sales of ppi.  Hadenglen’s chief executive Richard Hayes was also fined £49,000 for inadequate systems and controls during the sale of remortgage and payment proteciton insurance to its customers.  The firm were also fined £133,000.

There are many reasons why you could be mis sold ppi:

• you didn’t request or want it
• you were led to believe you would be turned down for credit if you didn’t take it
• you weren’t asked about pre existing medical conditions
• you were self employed
• you were retired