Personal Protection Insurance, or PPI, is a form of insurance that many lenders misleadingly sold to their customers. This insurance, to be used in the event that a person became unable to repay their debt, was considerably expensive when purchased through the lender, and in most cases was never used.

 

PPI in IVA

It was found that PPI insurance could be purchased from outside sources at a more reasonable rate, and that these lenders sold these policies to their clients without informing them of this option. In many cases, borrowers were not even informed that a policy was in place, or the cost.

A major settlement was agreed upon, and lenders are required to refund PPI insurance premiums, plus interest, to clients who place a request. Anyone that has opened a line of credit in the last six years that has a PPI policy on it automatically qualifies for a refund. Older accounts also qualify, but the refund process may take longer.

IVA – Individual Voluntary Arrangement

Many people, however, have failed to claim their PPI refund because they are currently involved in an IVA.

If you are currently part of an IVA, or if you have recently completed an IVA, you still need to claim your PPI refund. You are entitled to this refund by court ruling, and you should take advantage of this opportunity.

The PPI refund is not based on your current financial situation. It is based on the fact that you purchased a policy through your lender, and it was most likely under false pretenses.

What Will Happen To My IVA Arrangement If I Make A Claim?

If you are currently participating in an IVA program, any monies that you receive as part of this claim will be applied to your program or past debt with the lender. This can be a very positive thing for you, because it will enable you to repay your debt quicker, without having to use extra money from your daily life.

If posting this refund to your account will cause undue financial hardship on you, you can submit a request to the bank or lender to release the funds instead. It should be noted, however, that releasing these funds is solely at their discretion and is not a requirement by law.

If the refund amount exceeds your debts, your debts will be paid and the balance will be issued to you.

Many people discover that several of their accounts that are in the IVA are eligible for PPI refunds. Each account can be filed against for a refund, allowing the consumer to quickly pay down their debts.

Debts Paid Off Prior To An IVA

PPI claims can also be placed against accounts that have been paid off prior to your IVA. These accounts are still valid when it comes to the PPI settlement, and all accounts should be claimed against.

Depending on your financial situation, and your IVA status, you may receive the refund directly for accounts that were paid off previous to the IVA. Again, this is not a guarantee and will depend on many factors. Some people have reported receiving refunds, while others have reported that the refunds were posted to their IVA.


PPI Claims Company News

Step-by-Step Guide to PPI Claims for Alliance & Leicester

Although Alliance & Leicester has been ordered to send notices to customers who have been mis-sold PPI, the real number of customers the bank mis-sold PPI to by far surpasses those who have actually received notices. If you are uncertain whether you have PPI from Alliance & Leicester, check through all of the paperwork that you were given at the time of taking out the loan, mortgage, credit card account, or other financial agreement. If you find evidence or think you have been mis-sold PPI, read on to find a step-by-step guide on how to claim back your PPI from Alliance & Leicester.

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PPI Complaints Mis-Handled, Lloyds Banks Admits

Lloyds recently announced that one of its centres specialsing in handling PPI complaints has produced obvious shortcomings. The announcement comes on the heels of discovering that a Times reporter went undercover at one of the bank’s notorious complaints handling centres.

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Can I claim PPI on Barclaycard?

If you purchased payment protection insurance (PPI) with your Barclaycard, then you may be able to make a claim against the company. The PPI scandal has rocked the nation and resulted in huge numbers of PPI claims involving the UK’s largest financial institutions. Customers who were victims of mis-selling have a right to file a claim for monetary compensation.

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The Real cost of PPI to consumers

The cost of the PPI bank scandal to UK citizens can be measured both in pounds and the falling trust that consumers have in their banking institutions.

Which? has recently released an opinion to the Parliamentary Commission on Banking Standards that characterized the Payment Protection Insurance scheme as “a poor product that was sold badly.” Which? is a group that campaigns for the protection of consumer rights and offers an independent view on various subjects.

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Tim Capper reports on Financial Mis-Selling for Maple Leaf Financial. Our aim is to ensure you get honest advice and proper guidance to ensure a suitable recommendation can be made to pursue a financial claim


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Tim Capper

Bringing you financial news and information in plain english for Maple Leaf Financial. My aim is to help readers understand these often complex financial instruments.