About 10 years ago, finance companies and banks did start to impose objectives on their own sales staffs to trade a payment protection insurance policy to individuals who have been applying for a loan, credit card, store card, hire purchase along with finances. Revelation revealed when many of the sales representatives confessed that they are forced to mis-sold ppi to their customers when the financial firms imposed pay cuts on them once they never reach their targets. Eventually, the sales representatives were forced to sell this product even to a different people and had to misrepresent them to their clients. The result of this was a large mis-sold ppi complaint in the customers who can not make a claim on any benefit out from the policy.
Usually, sales representatives from some banks and lenders include the price of the ppi policy on the customer’s loan without telling them. Most in the mis-sold ppi complaints were filed by the individuals who didn’t know they’ve got it. There have been also mis-sold ppi complaints to the people who were told by the sales representatives that the policy was a requirement to their loan application. If you’re not eligible to make a claim when you took out a policy, such as those who are jobless, retired, on benefits, students, with pre existing medical condition, or failed to check if you’re already covered by a current insurance policy, then the policy was useless to you personally because of the exclusions of the cover.
Banks and lenders have the responsibilities to guarantee the customers what payment protection insurance is when you are purchasing it. They must also check if the product they offered you was appropriate for you and to your circumstances. You must have made aware by many of the policies terms and conditions, its exclusions and all the important information a customer ought to know. If in any case you will not benefit with this product, they should recommend you not to go ahead and never to take out the payment protection insurance plan.
Payment protection insurance is built to ensure that the borrowers can continue paying the lenders the thing that was owed to them each month if the borrowers lose their income as a result of severe illness, accident, loss of employment or redundancies. It sounds really ideal to the borrowers. However, with the way how a payment protection insurance policy have been sold to the customers brought on the mis-sold ppi related problems from the financial market. Due to these mis-sold ppi policies, banks and lenders are facing big fines and big compensation payments to those people who have been a victim of their mis-selling practice.
To make sure you weren’t a victim of mis-sold ppi policy, check your loan contract agreement and read the fine print carefully as details of ppi could possibly be found. For individuals that took out a credit card, you can examine your monthly loan instalments because the ppi cost should be itemized.