Dirty laundry
Inherent defects in PPI are showing up every day and one statistic even shows that due to missold PPI, customers have combined for a loss of anything in the neighborhood of 15 to 20 billion pounds, which is no drop in the bucket.
Worse, it appears that 85 percent of PPI claims have been rejected and those that have been successful in making claims, get the equivalent of the premium back and nothing more. This is why there is such a rush for solicitors and claims management agencies as people want justice and now can expect back anything from 1,000 to 9,000 pounds back from banks which duped them.
Banks had blatantly lied to their customers in selling PPI, handing out policies to people who were ineligible. And customers who were eligible for PPI found that in the case of credit cards where PPI would cover for a missed payment, the policy would pay only the minimum amount due which did the policyholder little good.
Some PPI even had age restrictions and excluded certain ailments from qualifying as an illness, such as bad backs for example, even f the customer was bedridden with pain. The wheel has now turned full circle and banks now have been penalized by the Financial Services Authority.
The Financial Ombudsman Service has also taken a dim view of proceedings flooded as it is by complaints related to PPI. Banks claim that the complaints are only on technical matters while the Ombudsman says most of them are on account of people being cheated when it came to PPI.
