I have readers from all over the world. Now and then I’ll host a guest post that may appeal to a non-US reader, here’s one such guest post -
PPI, or Payment Protection Insurance, is a type of insurance that is sold by lending companies like banks or building societies. A building society is an institution owned by members who offer financial services. Building Societies as found mostly in the UK.
There have been investigations into PPI claims in the past several years that have shown the selling of these payment protection options has often been misrepresented and to many unsuspecting customers. Because of these investigations, many people are successfully applying and receiving PPI claims.
The coverage in this type of insurance is purported to protect the buyer in the event of unemployment or sickness or accident. The insurance is to protect the debt until it can be re-assumed. PPI can be good for many people, but not for everyone. Too many lenders have sold the insurance without explaining about it. The price was just added to the amount of the loan and no further explanation was given. Now that this practice of mis-selling payment protection insurance has been exposed many clients who unknowingly purchased this protection are able to reclaim PPI monies.
If a client has borrowed money from a lending institution, he may have been sold PPI without knowing it. What is more important he submit a PPI claim to recover the cost. Many who bought PPI knew what they were buying. But there are enough concerns that it pays to check into it. It’s simple to determine if a client might have been sold a payment protection insurance plan and to learn how to submit a PPI claim and receive a refund.
The client should never be told that PPI is mandatory. This type of insurance is available but certainly not mandatory. If the client is told that buying this insurance will increase the chances of getting the loan, which is a misrepresentation of the facts. PPI should in no way determine qualification for the loan.
If the terms of the loan were not expressly clear, the cost of the protection insurance might have been added to the total without the client realizing it. There are several other considerations that might indicate wrong-doing. Often the elderly are preyed upon in financial matters, as are the self-employed and the retired. If you were in one of these categories when you borrowed money, it is a good idea to find out more about how to reclaim a PPI. One of the most important items to consider is whether or not there was any pressure about buying PPI.
About The Author: My name is James I am a Tech writer from UK. I am into Finance & Insurance and also enjoy playing with latest gadgets catch me @financeport