Is my claim likely to be successful?
We cannot make any guarantees that your claim will be successful. However, it is clear that a large proportion of Payment Protection Insurance policies were either poorly sold or mis-sold outright. We are aware of the practices that a lot of companies selling PPI used to confuse, mis-lead or mis-inform the consumer. We will use this knowledge to ensure your claim has the best chance of success and we have seen many successes by knowing what arguments or what aspect of the sale to focus on.
However, sometimes, the success of a complaint may come down to what you remember about the sale or any evidence that you can provide, particularly if the claim is referred to the Financial Ombudsman Service. You may therefore wish to let us know of any issues you have with how the PPI policy was sold, or the policy itself. If you have ever tried to claim against the PPI policy but you were declined due to a clause in the small print, you might have a very strong claim that the policy was mis sold.
As we conduct these claims on a ‘no win, no fee’ basis, it is in our interests to ensure that we run claims that we feel have a chance of success. We will let you know if we feel that your claim has no chance of success as soon as it becomes apparent. The sale of each Policy will be assessed on its own merits. Therefore you may have success on some Policies but not others even where they are sold by the same PPI Company.
What will it cost me?
Our fee will be 30% plus VAT of each sum proposed by the PPI Company to settle each claim for mis-sold payment protection insurance. We do not charge you if your claim is unsuccessful. As such, there is absolutely no risk to you. Please note, VAT is only payable on our fees.
Most awards are made as a cash refund. However, if any account with a PPI Company is in arrears including an agreement to make reduced payments, or if you are in a Debt Management Plan, IVA, bankruptcy or similar arrangement, part or all of the award is likely to be paid towards the amount owing. In this instance, the cash you receive may not be enough to cover our fee. You should therefore let us know at the outset if you are behind with the loan as we would not want to put you in a position where you owe legal fees that you will struggle to pay.
How much compensation will I receive?
This is dependent on the size of your loan. However, as a guide we do aim to recover a refund of all premiums paid towards the payment protection insurance policy. If your policy was purchased as a single premium added to the loan balance, we will also request any contractual interest you have paid on the loan for the policy. In all cases we will also request interest on payments made to compensate you for the loss of money. Under FOS guidelines, such interest is charged at 8% per annum on each payment made.
If the loan and policy are ongoing, we will also request a cancellation of your policy which should result in lower future repayments.
What information do I need to provide?
If you can provide us with the name of your lender, loan account number and loan start date, we will be able to start your claim as soon as we receive your signed instruction forms. If you do not have the account number and/or start date, we may still be able to help but it will take a little longer to get your claim registered with the company responsible.
If you do have the relevant loan and policy documents, we would be grateful if you could send copies of these to us as they will assist us in reviewing your claim. At the outset of your claim, we will send you an optional questionnaire to complete. By completing this, you will assist us in responding to your lender should they raise any queries regarding your claim.
The FOS route v the Court route – which is best?
If we are unable to agree a settlement with your lender or PPI Company, we may need to take further action to resolve your complaint. The 2 main options are to either refer your complaint to the Financial Ombudsman Service or issue County Court proceedings against the Company we deem responsible for the mis-sale of the policy.
Due to the current state of the law, we think it is in most people’s best interests to refer the complaint to Financial Ombudsman Service. Please note that in some cases it would not be appropriate to refer the complaint to either the Financial Ombudsman Service or issue Court proceedings. We will let you know if this is the case.
How long will it take to settle my case?
At present, most companies have 8 weeks from them acknowledging your complaint to provide a final decision. How long it takes them to acknowledge the complaint will vary on the company itself and the amount of information we can provide to them at the outset. The sale of each Policy will be assessed on its own merits therefore the time it takes to access each account may vary even where they where issued by the same PPI Company.
If we do not have a final decision after the investigation period has expired, we may need to refer the matter to the Financial Ombudsman Service. The time it takes for the Financial Ombudsman Service to investigate and decide a matter will depend on their work levels at the time of referral and will vary from case to case. However, it usually takes between 2-6 months for the claim to reach an adjudicator who will decide your claim.
If the adjudicator disagrees with your complaint, or if he upholds your complaint but the lender wishes to appeal their decision, the claim may be referred to an ombudsman at the Financial Ombudsman Service. If this happens, it may take up to a further 12 months for the claim to be resolved.