If you think you’ve been mis-sold PPI (payment protection insurance), you need to move quickly as the PPI claims deadline is August 29 2019.
Q. Why is a deadline being imposed?
A. The financial regulator, the Financial Conduct Authority (FCA), says that a deadline for payment protection insurance mis-selling claims will be introduced so that there is ‘finality and certainty’ for the industry (especially banks).
It also said, oddly, in my opinion, that it may encourage people to complain directly to banks rather than using claims management companies and that it may improve the efficiency of PPI complaints handling. I don’t follow the logic for this at all.
It first mentioned this idea in 2015 and, after a consultation, decided to set the date at 29th August 2018. After that you won’t be able to complain about PPI that’s been missold.
Q. How will the deadline be publicised?
A. The FCA, the financial regulator, says there will be a major two year publicity campaign in August 2017 to alert people to the fact that there will be a deadline. It will include information on how to complain directly to your bank.
Q. Won’t this mean I get plagued by more PPI claims companies in the run up to the deadline?
A. I’m afraid it is possible. There are plans to impose a cap on the amount of money that claims management companies can charge, but there’s no guarantee that this cap will be in force by the time the deadline for claiming against mis-selling of PPI has been imposed.
Q. Is there a particular issue for women?
A. The regulator, the FCA, says that men are more likely to have bought PPI, but also more likely to have complained. Women in the UK are less likely than men to complain. The FCA says this is due to slightly lower financial knowledge and familiarity.
The FCA says that its publicity campaign will be effective for both women and men. It’s already been tested on women-only groups and it will re-test the publicity.
Q. What should I do?
A. If you think you may have been mis-sold PPI in the past, you should contact your bank, loan or credit card provider. Most banks and credit card providers have information on their websites about making a complaint about PPI.
You can make a complaint if:
- You were self employed. The vast majority of PPI policies won’t pay out if you’re self employed or on a fixed-term contract and you lose your job/work.
- You had medical problems you weren’t asked about. PPI policies rarely pay out for ‘pre-existing medical conditions’ — illnesses you’d suffered from before you took out the policy.
- You weren’t told about exclusions. In many cases, policyholders weren’t told that stress, pregnancy or back problems weren’t covered.
- You were retired or over 65 or older at the time. If you were retired you wouldn’t be able to claim on the policy in the first place and if you were aged over 65 or 70 (even if you were still in work) you might not have been covered as most policies have an upper age limit.
SAVVY TIP: There are lots of claims management companies that will also sort out your claim – but they’ll take up to 40% of any redress you get as a fee. Some haven’t done the job they’ve been supposed to or have gone out of business.
You can download the SavvyWoman PPI complaints letter and you can send this letter to your bank or PPI provider.
SavvyWoman email newsletters: If you found this information useful why not sign up now to receive free fortnightly email newsletters with money saving tips and help? You can sign up at the top of any page on the website and your details won’t be passed to any other company for marketing purposes.