It’s 2015 and the 5 year ppi claims scandal is still underway, volume claims have remained at steady levels and there are still 10s of 1000s of enquiries being generated by various websites and with people calling into to claims management firms’ to commission help as their busy lives demand they focus elsewhere.
Why Has The PPI Claims Scandal Not Yet Been Resolved?
There are several major reasons why the claims scandal has not yet been resolved, including but not limited to:
1/ There are millions of UK residents that have been miss sold payment protection insurance, that have not yet reclaimed their compensation.
Many don’t know how to reclaim their compensation, or where to begin the process.
Many aren’t aware they have miss sold ppi on their loans, mortgages, credit cards or store cards as an attached policy
Many have not been educated or informed correctly about ppi, and the criteria for miss selling insurance of this nature
Many have just not taken the time to go through the process, or respond to correspondence they have seen either through direct contact or advertisements
Many have tried to claim, however they have hit a snag or not provided complete details in relation to their policies
2/ The banks have not handled the claims quite as they should have done
In the following ways:
1/ The banks were recently fined millions for resolving the claims to an unsatisfactory standard, offering “alternative redress” and “representative redress”, meaning that the amount of money that was awarded to the customer was not the correct amount, this has also led to the banks’ being forced to re-open many ppi claims cases.
2/ The banks have also been fined for stalling on the processing on the claims.
3/ The banks have also been fined for rejecting claims that were later upheld upon further investigation by the FOS (Ombudsman Service)
4/ The banks have refused to co-operate with many of the claims’ management facilitators due to refusing to provide account details to the companies acting on behalf of the customer.
3/ The Overwhelming volume of PPI Policies that exist
1/ There are literally millions of ppi policies that require a refund be provided to the customer
2/ Only an estimated 1 in 3 miss sold ppi policies have resulted in a refund to date
3/ The volume has created backlogs’ not only for the claims’ management companies, but also for the financial ombudsman.
4/ The Time-scale It Takes For The Claims To Complete
1/ It is taking claims on average around 4-5 months to complete at the moment due to logistical issues with the bank and the ombudsman
2/ People are being late with coming back with the details to aid the companies handling the complaints on their behalf
3/ The companies that have miss sold the insurance stalling with the handling of complaints.
All of the above issues are contributing factors to the length of time it is taking the ppi scandal to complete, with all these factors currently at play it is difficult to determine when the scandal will reach a conclusion.
For people wanting assistance with their ppi claim or just some free advice these recommended ppi claims experts at ppiclaimsservice.co.uk are able to help facilitate this for you.
There is also lots of free information out there for individuals wanting to reclaim ppi without the use of a claims company, you can call the financial ombudsman for advice at +44300 123 9 123 for further guidance on how to process a claim yourself.