- What is PPI?
Payment Protection Insurance, or PPI, is a type of insurance offered on a number of financial products. This is typically offered on loan agreements and other forms of money lending. It is designed to meet the repayments for these products if the borrower is unable to do so, due to illness or lost employment. For more on PPI please view our PPI page.
- Was I mis sold PPI?
There are many reasons why you might have been mis-sold PPI policy.
Below are the most common ones:
- The bank said you had to have it.
- It just appeared on your loan documents without you asking for it.
- Unsuitable for you.
- Unsuitable for the loan duration or holders.
- Unsuitable for the loan purpose.
- It was really, really expensive
To find out if you had a mis-sold PPI please go to our do I qualify page if you can answer YES to any of the statements then we can submit a claim on your behalf.
- Should I reclaim?
In these credit-crunch times, you need to consider whether you would rather have the cover the policy gives you than a refund of the PPI costs. Some policies are fair value and you might want to keep them, but most only pay out for one year if you find yourself unemployed. It’s important to realise that generally, they don’t pay the entire loan off for you, just the monthly payments. You would usually be better off getting your money back than having one year of payments made, so check your paperwork and figure out the best option for you with a calculator!
- What will I have to do?
Just complete our online application form and we’ll send you some paperwork. All you have to do is just sign the forms and return it to us in the Freepost envelope provided and we’ll do the rest!
- Do you need my loan and credit-card agreements?
No we don’t, but it does help to speed things up. We can write to your lender and use the law provided by the Data Protection Act to force them to send us a copy of your loan agreement. Companies are usually pretty slow in responding to these requests however so if you do still have some paperwork then send it in as you’ll get your money back sooner.
- How much can I claim?
You can claim back mis-sold PPI costs plus interest. Of course, we figure this all out for you so you don’t lose a penny.
- Can I claim and how far back can I go?
If any of the miss-selling reasons apply, you can reclaim.
It doesn’t matter whether the loan has been paid off, or is still running. Just remember if your account was still active during the last six years you can claim. So, for example, a loan taken out ten years ago, repaid in full five years ago is fine.
- What if my case is older than 6 years, can I still claim?
Yes. If the loan was taken out more than 6 years ago it is still possible to claim. However, you may need some paperwork as there is a strong chance that the bank may have destroyed their records. In this case, the burden of proof is on you. As long as you have some documentation this will allow us to proceed with your claim.
- Can I make a claim if I have nothing more to pay to my lender?
Yes of course just complete the form and send it back to us asap.
- Can I do this myself?
The simple answer to this is that, yes you can you can contact the lender or go through the financial ombudsman service for free. If you would like to proceed with us Simply complete our Start Your Claim on-line form and get the ball rolling.
- How long does it take?
This very much depends on how long the lender takes to respond to us and whether they agree the policy was mis-sold. Around a quarter of our claims are settled in direct negotiation with the lender in two to three months. Those that need to be taken on to the Financial Ombudsman and could can take up to 6-9 months possibly longer.
- What happens if during the process I am found not to have been mis-sold PPI?
If the claim is carried to its conclusion and is not successful, you will not be charged for any work carried out on your behalf.
- Can I claim for a PPI on a loan or credit card that I no longer have?
Of course, even if you have closed the account you wish to claim against, you can still go ahead. You can claim back PPI on any financial product even if you no longer have the policy.
- How many claims can I make?
If PPI was mis-sold on every occasion you obtained finance, you can make a claim for a refund for as many PPI policies as you have or have had.
- How much can I claim?
If the lender or FSA agree that you were mis-sold the PPI, you should get back all of the premiums you have paid, with interest added.
You may find that you were not mis-sold the policy in the first instance but were treated unfairly when you went to cancel the cover. FSA rules say that when a customer cancels a single premium policy, the lender should give a ‘fair’ refund.
This may not necessarily be a pro-rata refund, i.e. you won’t get half the cost back if you cancel halfway through. However, lenders should only charge for ‘reasonably incurred costs’. If you feel the refund is unfair, challenge it.
- What is your fee for processing my PPI Claim and how will it be deducted from my settlement?
At the Claimspower we work on a no win, no fee basis. If we don’t win you don’t pay. The fee is payable if the case is not pursued at the client’s request. For new claims, if we are successful with your claim, we will charge a competitive fee of just 15% (+vat) on the value of the settlement. Our fees are one of the lowest in the industry we don’t believe in excessive charging. In other words: should we be successful in reclaiming £3000, the success fee payable will be only £540 inclusive of VAT… Once you have settled your claim and received your claim and received your compensation we will invoice our fee which will be payable within 7 days of receiving your payment from the lender.
- Can my claim reduce my outstanding balance on my credit agreement?
Yes. If your claim is successful, you will be repaid what you have paid to date and the remaining cost of the PPI will be removed from your balance, which will then reduce your monthly repayments.
- How much do you charge for rejected claims?
For rejected PPI claims we charge a very competitive rate of 20% again on a no win no fee basis. Unfortunately, we have to charge this fee due to the complexities of these cases and the number of resources it takes. It is worth pointing out though, that most people who contact us regarding Rejected PPI often have dismissed the idea that they will get anything back. So they are amazed when we win these cases and get full compensation as well as interest. So ask yourself, what have you got to lose.
- What if I took out the finance in joint names?
You can make a claim if the other person(s) agrees to also make a claim. Please get in touch with us.
- Will my credit rating be affected by making a claim?
Definitely not! If you have been mis-sold a product you are entitled to make a claim. You are reclaiming money that is rightfully yours.
- What if my lender contacts me regarding the complaint?
Please send any correspondence or notices to us. If you are contacted by telephone, please let us know.
- Will the claim affect my relationship with the bank?
NO. If you have been mis-sold a product you are fully entitled to claim back your money. Banks have started to accept that they were responsible for this miss-selling and so reclaiming your PPI will not place any sort of ‘black mark’ on your relationship with the bank.
- Are PPI policies still available to purchase?
The sale of PPI policies are predicted to shrink dramatically; some banks have even stopped selling them altogether. Banks and lenders who want to continue selling PPI will have to abide by the FSA’s new rules, thereby being much more careful about how they sell them to borrowers. Separately, the Competition Commission is bringing new rules that will stop lenders selling PPI at the point where they grant a loan.
- Will my claim cancel the PPI I have taken out?
You will certainly have the right to cancel the PPI policy but don’t rely on the lender canceling it for you. You should, therefore, tell them in writing that you want the policy to be canceled and then double check that they have actually canceled it.
- Can I cancel my PPI even if I do not have a claim?
Yes and don’t let anyone tell you otherwise. If you have a monthly policy (most PPI policies attached to mortgages and credit or store cards are monthly), you can cancel your policy at any time and you won’t incur any further costs.
You can also cancel your PPI policy if you have a ‘single premium policy’ (which means you have paid for insurance covering the whole term upfront – examples being where you have a loan or finance agreement).
If this is the case your lender, under new rules brought in by the Financial Services Authority (FSA), must give you a fairly calculated refund, but you can be charged reasonable costs.
- What is your Postal Address?
Our address is
127 Fernhead Road
- Any other question?
If you have any other question please contact us by email at firstname.lastname@example.org or give us a call and we would be more than happy to answer your questions.