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Submitted: 2010-08-19 13:28:02 | Word Count: 870
Greedy brokers and loan providers may finally have to stop their high pressured techniques and lies with regards to the sale of PPI. Even with all the bad press and rules that have been added, the truth about payment protection insurance as well as the rip-off that has been perpetrated amongst hundreds of thousands of unsuspecting borrowers remains ongoing.
Recently a new rule has been put into place by the Competition Commission that declares that loan providers are not able to sell PPI to borrowers for the minimum of seven days after which the money has been approved. This process naturally has the banks in an uproar. Many banking institutions may hold the loan hostage and create a façade that the loan can not be given without the purchase of the payment protection insurance premium.
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Approximately six years or so ago, was when the PPI misuse came to light. Since that point a lot of finance institutions have paid out steep fines for the mis-selling of these premiums. They have also had to reimburse millions of dollars to clients who demonstrated their cases were legitimate.
The banks and or brokers whom have been doing this mis-selling have their own reasons for doing this sort of activity. The banking institutions not only can charge you whatever they like for these premiums (they are nearly always 2x as much as if you found it at a private office), but then they add it on to your loan and you also pay the finance charges on this as well as your loan. Independent agents on the other hand will make 50% commissions on each and every sale they create.
If you feel that you were mis sold payment protection insurance you could have the ability to reclaim your premium and also the financial institutes may have to tack on Statutory Interest at 8% per annum, and in all actuality more might be awarded. Regardless if the loan or credit card is paid, so long as you can gather the proper paperwork, as well as details, it is possible to file a claim.
In closing, please find a brief run down for the primary situations on how individuals were being mis sold payment protection insurance; you had been told that to acquire a loan it was obligatory you purchased PPI, you were not told the exclusions of the policy, you were sold PPI even though you were self-employed, you were not employed at your current job for more than 1 year, you were not questioned of any prior health conditions and you were not told the price of the premium. Invest the time into discovering if and how you can claim your money back, it will likely be worth it.
Author Resource:-
If you believe you fell victim to mis sold payment protection insurance and want more information and tips on ppi claims please visit Simplicity Claims - specialists in reclaiming PPI Premiums.
