Loan PPI
Was your Loan Payment Protection Insurance (PPI) policy mis-sold to you?
Loan protection is a common form of PPI and is frequently marketed as an add-on with standard loans. The selling point behind the product is that it will cover the borrower should they become unable to earn an income to keep up with their initial loan re-payments. The problem is that the borrower is covered in so few circumstances, that the chances of having a valid claim are dramatically slim. To make matters worse it is entirely possible that the PPI policy has actually cost the client more than the primary loan in the long term.
Considering that the objective is the protection of the borrower's ability to maintain repayments, and assist them in the avoidance of falling into debt then it should be seen as a comfort, but is it? The fact is that with figures reflecting a less than four percent total claims payout, this could be a costly red herring rather than a solid financial support. Loan protection insurance is marketed as covering non-payment of monthly instalments on the initial loan in the event of; accident, sickness, unemployment and similar situations resulting in the preclusion of the borrower fulfilling his financial obligations for a limited period of time.
This sounds like an appealing arrangement as, who can know what's going to happen, right?, The policy, however, is so often mis-sold that the amount of people identified paying for a cover which they are not eligible for and unable to claim on is staggering. Such cover is frequently purchased from the financial institution supplying the primary loan, however, it may also be opted for at a later stage as a stand-alone policy. When listing complaints made by borrowers purchasing loan payment protection from the financial institution funding their primary loan, many assumed or were falsely informed that this additional insurance was mandatory to the approval of the loan that they had initially set out to acquire.
Due to cunning word usage many more borrowers had absolutely no idea that they had this cover at all, and it was made more imperceptible by slipping its payment's in with that of the original loan.
It is this form of misrepresentation that is highly actionable as well as the fact that so many clients were compelled to purchase this PPI without the salesmen performing any manner of detailed background check to ascertain whether the borrower was indeed qualified for the product or actually needed it. At Direct Financial Claim, with our 'No win, No fee' policy, we examine the minutiae of your loan protection package both past and present, and vigorously seek out remuneration for mis-sold policies on your behalf.
We can look to recover the full cost of a PPI policy (which is often THOUSANDS of pounds) plus interest, if we believe that you have been miss sold PPI
