Payment Protection Insurance was added to a variety of different finance products. In fact, the majority of finance products had PPI policies attached to them one way or another during from the 1980’s up until the late 2000’s.
PPI payments were normally paid in two ways; credit and store cards were paid for monthly, whereas mortgage and loans were typically paid for with a lump sum.
PPI was often sold on the following items:
- Credit Cards
- Secure Loans
- Hire Purchase (HP)
- Car Finance
- Store Cards
- Sofa & Bed Finance
- Any Finance Product That Banks Would Sell
Since the early days of PPI the banks discovered that PPI could very profitable, so the mainstream lenders like Lloyds, HSBC, RBS and Barclays ensured that they attached PPI onto any viable product. It generated millions in profits for the banks which included huge interest rates that the banks were pocketing as well.
Different products contained different types of PPI; PPI was first calculated in relation to a lump sum on the length of time that the loan was taken over and the amount of money the loan added up to.
The PPI would extend for no more than five years, but on certain policies, particularly on loans or mortgages it could be increased by a further two years. Premium’s were added to any type of finance product of £10,000 over a five-year time period, meaning that the PPI itself would be around £2,500. In addition to this, the customer would be required to pay interest on top of the £2,500 for the five or seven years.
In most cases the banks would not point that out to the customer, because if they did, the customer wouldn’t be interested in taking it out – in fact the banks often made a point of not telling their customers as a matter of policy. When a customer approached the bank, they were not interested in anything other than the finance product they had agreed upon,
PPI was attached to most financial products and, if you had any loan during the 1980s, 1990s and 2000s, regardless of whether you were aware that PPI was attached, or what information you may have been given, you may have been mis-sold and it’s essential you check this out before it’s too late.
PPI Refund deal with mis-sold PPI and we’re happy to talk with anyone about their concerns, and how we can help them retrieve what is rightfully owed to them. Take our free PPI check before it’s too late.