If you have personally applied for Payment Protection Insurance, it will allow you to maintain your loan repayments, even if you meet with an accident, get hospitalized, or in case of any other injury. Of course, the advantages of PPI cannot be disputed, but it really is not required in many cases.
The problem arises when the lender sells it to you without your knowledge. You will end up paying those hidden charges, without even know about it. If you have applied for loans, mortgages, or used your credit card in the past 6 years, the chances are that you are paying for something that you did not want, or ask. The reason being, most of us do not read the terms and conditions carefully before borrowing money.
How to reclaim your money back
You could either hire a reliable claims company, or do it yourself with a little guidance. If you choose to hire a claims company, they will deduct around 30% of the total PPI claim amount as their fee, but only after making the successful claims. They will not charge any upfront fees, and they will make sure that you win the case. They will handle all the legalities on your behalf, and will work proactively with your all through the legal process.
To reclaim your PPI on your own, you need to follow some specific procedures. First and foremost, you will need to send a complaint letter to the firm. In that letter, you will have to mention all the reasons why you believe that the firm has mis-sold the insurance to you. They will surely make an attempt to deny, or decline your claim requests. You are still entitled to get your money back. Therefore, it is always a good idea to hire professional firms for the job.
How much can you expect to make with your PPI claims?
To reclaim your PPI claims, you will first need to prove that it has been mis sold to you. If it is proved successfully, then you will be eligible to reclaim each premium that you paid for the said policy. Additionally, the institution or bank will also have to pay interest to you, which will be calculated at 8% rate.
You could reclaim the PPI premium amount if:
- You are older than the specified age limit for your policy
- You were misguided that the PPI insurance was compulsory
- Cost of PPI was not explained to you in a proper manner
- If you had a serious medical problem while taking the insurance, and if the institution did not warn you that you were not suitable for the policy.
Although there is no deadline to reclaim your premiums, it is better to get the process initiated within the six years of your credit argument. By doing this, you will find the information about your argument from the bank or financial institution easily. It is because, no financial institution will be held responsible if they do not maintain their client records that are older than six years.
If you make your claims after more than six years of credit argument, there still are a few ways to retrieve your information. You could write to the bank and request them to provide you the paperwork that is needed for making your claim. Many institutions do keep a copy of their client documents even after six years. You could consult a good claims company for professional assistance by visiting their websites.