About 10 years ago, banks and lenders did start to impose objectives on their sales staffs to trade a payment protection insurance policy to the people who have been applying for a loan, credit card, store card, hire purchase along with other finances. Revelation revealed when some of the sales representatives confessed that they are forced to mis-sold ppi on their clients 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 massive mis-sold ppi complaint from the clients who can not make a claim on any benefit out from the policy.
Usually, sales representatives from some banks and lenders include the cost of the ppi policy into the customer’s loan without telling them. Most with the mis-sold ppi complaints were filed by those people who didn’t know they’ve got it. There were also mis-sold ppi complaints to those people who were told with the sales representatives that this policy was a requirement to their loan application. If you’re not eligible to make a claim as you took out a policy, just like those who are unemployed, retired, on benefits, students, with pre existing medical problem, or didn’t check if you’re already covered by an existing insurance policy, then the policy was useless to you personally due to the exclusions of the cover.
Banks and lenders have all the responsibilities to ensure the customers what payment protection insurance is when you’re purchasing it. They also needs to check if the product they offered you was suitable for you and to your circumstances. You ought to have made aware by many of the policies conditions and terms, its exclusions and all the important information a customer should be aware of. If in any case you’ll not benefit with this product, they must recommend you not to go ahead and never to take out the payment protection insurance policy.
Payment protection insurance is built to ensure that the borrowers can continue paying the lenders the thing that was owed to them every month when the borrowers lose their income as a result of certain illness, accident, loss of employment or redundancies. It sounds really ideal to the borrowers. However, with all the way how a payment protection insurance policy has 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 were not 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 who took out a credit card, you can examine your monthly loan instalments for the reason that ppi cost has to be itemized.