Below are some of the most frequently asked questions. Simply click on the tab to reveal the relevant information. If your question isn’t covered below, please use the contact us form and we will endeavour to provide a swift answer.
Payment Protection Insurance (PPI) is a specific type of insurance policy that was sold alongside credit agreements, such as personal loans, credit cards, HP agreements, car finance and many other types of credit.
It was originally designed to protect the consumer if they were unable to make their monthly repayments on the loan, however it has since transpired that many PPI policies were mis-sold.
It is estimated that more than 34 million PPI policies have been sold in the UK.
The manner the PPI policy was presented to you may indicate that PPI was mis-sold. Common examples of this include:
If you were informed that it was compulsory to receiving your loan.
If the policy was not explained.
If your eligibility for claiming on the PPI was not clarified.
In the worst case scenarios, lenders lied to customers by telling them PPI was a compulsory element of a loan or that it would increase their chances of the loan application being accepted. In other cases they simply added PPI to the loan without consent. All of these are examples of how PPI was mis-sold.
Firstly you need to determine if PPI was added to your loan. If you did have PPI you then need to demonstrate how the PPI was mis-sold, to show that your PPI claim has merit. Claims Advisory Group can help you determine if you were mis-sold PPI and make a PPI claim on your behalf. Please click here to start making a claim.
Your PPI claim could take anything between 12 weeks and 18 months, depending upon the complexity of your case, the swiftness of response from all involved (including the lender, you and in certain cases the Financial Ombudsman Service or the Financial Services Compensation Scheme), and the speed of returning key information.
The amount you will be reclaim for your PPI claim will entirely depend on the amount of PPI that has been paid. As a very rough figure (as this varies from lender to lender) PPI added around 30% to the cost of a loan. Our average paid out per PPI compensation claim is approximately £2,500.
Claims Advisory Group work on a “no win, no fee” basis so you have nothing to lose by enquiring as there are no upfront fees to worry about. Please note that fees may be payable if the case is not pursued at the client’s request. Our fees are clearly explained pre-sale during the initial conversation.
Providing you follow the correct procedure when making a PPI claim, then your credit rating should not be affected by making a PPI claim. The “Treating Customers Fairly” Initiative from the Financial Service Authority, stipulates that if a financial product was found to have been mis-sold then the customer should not be negatively affected by seeking redress. It states that: “making a claim on a mis-sold product or policy should not affect your credit-rating at all”. Therefore, if you have been mis-sold PPI any compensation received should not have any negative effect on your credit rating.
The total amount you receive will generally comprise of two sections: the first part is the refund compensation, which you do not have to pay tax on. The second part is the interest added to the amount, which HMRC consider to be taxable income. From 1 October 2013 HMRC has instructed all lenders to deduct from your compensation amount any tax that may be due, and to pay it to them on your behalf.
Please visit the PPI advice section of the HMRC website for more information, or call HMRC Tax helpline: 0300 200 3300. As per our agreed terms and conditions, the fee is payable on the “value of the settlement” including any possible tax element.
Yes, you can make more than one PPI claim. You can have multiple PPI claims running simultaneously, even with the same lender, providing you have different PPI policies that were mis-sold. Please note though that due to the differences between lenders and individual policies, the PPI claims may be settled at various different times.
At the Claims Advisory Group we work on a no win, no fee* basis. If we are successful with your claim, we will charge a fee of 39% of the value of the settlement. In other words: should we be successful in reclaiming £3,000, the success fee payable will be £1,170. The only other occasion that you may have to pay is after the initial 14-day cooling-off period you should decide to cancel our contract. A fee will then be payable which reflects the work done on your behalf up to the point of cancellation. We do not charge upfront fees.
Details of our commission fees can be found in our Terms and Conditions contained in all client application packs. Claims Advisory Group Limited is regulated by the Claims Management Regulator in respect of regulated claims management activities. Authorisation number CRM5672, registration is recorded on the Ministry of Justice website www.justice.gov.uk/claims-regulation Registered office: Electra House, Crewe Business Park, Crewe, Cheshire, CW1 6GL. Principle place of business: Queens House, Queens Street, Manchester, M2 5HT. Claims Advisory Group Limited is registered in England and Wales with company registration number 6238948. ICO Reg No Z1158734.
† Calls are free if made from a BT landline. Calls made from mobiles and other networks may be charged.
Please check with your service provider. Mobile phone users may find it cheaper to call 0161 244 8010. Calls may be recorded for service quality.
*Fee may be payable if case is not pursued at clients request.