What Is PPI?
PPI or Payment Protection Insurance is a voluntary coverage that enables borrowers who are employed protect against the inability to repay loans and other issued credit lines when they are no longer able to work. This does not extend into retirement but for other causes.
Depending on the type of coverage purchased, PPI pays the minimum amounts due on credit cards, store charge cards, housing or car loans, for example. Some PPI policies may not cover all lines of credit or debt, but some do.
To qualify for PPI, the purchaser or purchasers must be gainfully employed at the time of purchase and not exceed the policy’s maximum age limit. Benefits are issued under limited circumstances: You must be unable to work due to illness, injury or accident – not because you suffer from work-related stress or of other disqualifying conditions. You cannot be permanently disabled from working, and you cannot have been laid off, your position having been made redundant. Other disqualifying conditions may exist as well.
Millions of unsuspecting people were mis-sold PPI, for disqualifying conditions were not properly screened or investigated; they were not properly informed it was a voluntary purchase that could have absolutely no impact on credit approval, interest rates or otherwise mandatory, as well as many other scenarios.
Am I Paying for PPI Now?
Regardless of whether your account is still open or is closed, if you obtained almost any type of financing or credit during the last six or so years, you probably purchased PPI. If you purchased it, you might have bought it under illegal circumstances, even if you didn’t know it was illegal or that you were purchasing it at all.
One verification method is to check your loan tickets or credit bills: If there is a PPI entry, as there should be if you purchased it, you bought purchase protection insurance. If it’s not there, read the loan or user service agreement.
Was PPI Mis-Sold?
More information regarding that question is available on site, but to start, if you can answer to any or all of these questions, you were mis-sold PPI and are due a full refund:
- Although you didn’t ask for PPI, is it listed on an invoice or in paperwork?
- Were you told PPI was either mandatory or that purchase could smooth the way to loan or credit approval?
- Were you unemployed, self-employed, a student or retired when you purchased it?
If any of these questions claims a positive answer, you were probably mis-sold PPI. Don’t allow your refund of all PPI payments and interest charged or other fees accrued on the PPI plan to go unclaimed.
“Thanks so much for the help with my PPI claim refund” – Tony, Manchester