Assuming you have read the news across the last year or so you undoubtedly will be aware of the world wide recession and how it has hampered many people across the planet. In the world of personal finance we have seen plenty changes, mainly when considering loans and mortgages.
It is likely that you have read about people who are making a PPI claim, and naturally wondered what it means. PPI – otherwise known as payment protection insurance – is a troublesome part of a good proportion of credit arrangements which is designed to help the borrower in the event that they lose their ability to work and unable to keep to the agreed deal.
A payment protection policy is an insurance deal that is paid for over monthly instalments. But, a few years ago the authorities who regulate the personal finance world tok on board many complaints from borrowers who discovered they could have been mis sold PPI policies, and a thorough investigation commenced.
Those that undertook the investigation saw that there were several examples of mis-selling of PPI policies, including some that had been supplied to people for whom they were useless and some in which borrowers were not told that they had undertaken and were paying for such a policy.
Following the outcome of the inquiry a number of financial institutions – many highly regarded household names – were given substantial fines, and the rules surrounding the provision of PPI policies were totally amended. In addition, plenty of the borrowers affected took on board professional help to pursue PPI claims for compensation, and lots of people are realising that they are also due some compensation for mis-sold polices.
At the time the new regulations were introduced they stated that there would be alterations to the way in which PPI policies would be sold, and it is now illegal to sell a consumer a policy at the point of sale of the loan or mortgage. It is also in contravention of the regulations to sell the buyer a PPI policy for a set number of days after agreeing the loan, giving the consumer time to search for the best deal.
Part of the reason for introducing these new regulations stems from the fact that the investigation confirmed that a number of consumers had been told that they had to take a branded PPI policy offered by the lender, somethinh that is at the heart of many a PPI claim as it has always been the individuals right to look elsewhere for the right policy.
Consumer finance and, specifically, PPI is now a much safer place for the consumer following the introduction of the fresh regulations, and if you consider that you may be elgible for seeking compensation we suggest you seek expert help in what is a confusing area of the law.
Related Blogs
- Sheikh Mansour Leghaei deportation contravention of UN’s wishes | savethesheikh.com
- Sheikh Mansour Leghaei Deportation Contravention of UN's Wishes … - Canadian Citizen Visa
- Major contravention of laws and ignoring of environmental issues with jatropha project in Globally important Dakatcha Woodlands – A Rocha Kenya
- Wolf’s Finance World » Hawaii ranks 44th in driver knowledge
- Business Finance in UK | Finance For Money | Chordband.com - World Of Business
- The Importance Of Travel In Today’s Economic World | Finance Made Simple
- » Obamas Plan to Tax Financial Institutions Motorola discovers vowels, tra
- What Every Financial Institution Should Know About Social Networking | Internet Marketing & SEO
- Bank Basics: A Short History of Financial Institutions | FinanceMoz.com
- LCD Screens For Financial Markets – What to Consider When Purchasing These LCD Screens? | Investing questions for Beginners