Your post – PPI deadline guide?

Even if your official reclaim door has already shut, still, it is not the end of your PPI story — there are some ways for you to cope with it. Below are some post – PPI solutions you need to know.  

Should I escalate my PPI claim to the Ombudsman eight weeks after?

No matter you heard from your bank or not, eight weeks since the PPI deadline, you can file your complaint to the free Financial Ombudsman Service (FOS).

However, beware of the fact that due to the numerous deadline complaints, the Financial Conduct Authority (FCA) declared that PPI would struggle to respond within eight weeks. Therefore, some people may need to wait until the summer of 2020.

Making a complaint to the Ombudsman may take much time, so we recommend waiting for the response from your bank. According to the FCA, specialized firms have to inform the customers about the waiting period. Thus, if your lender has not provided you with this information, get in touch with him or her.

If you are in circumstances of social vulnerability or critical financial situation, you have to explain to your PPI provider that you expect your complaint processing immediately. If it does not have any results, escalate your complaint directly to the Ombudsman.

The claim is impossible — bank system crash or claim current non-existence.  

URGENTLY contact with your bank!

If you are planning to reclaim your PPI on the deadline day, be aware of the fact that the bank may not receive your claim on time, as there can be a system failure.  Such banks and conglomerates as Barclays, Co-op, NatWest, RBS, and Santander admitted to having faced this problem.

In case you have encountered a bank system error, and your original claim does no longer exist, contact your bank to file it under exceptional circumstances immediately. If it still exists, but you have missed the deadline, insist on consideration.

Although the official deadline is 29 August, the FCA — the regulator authority — emphasizes the importance for companies of being “pragmatic” when a customer is not able to submit the claim.  In other words, to prevent people from reclaiming, banks are under an obligation to reconsider the requests not accepted due to the bank system failure.

Fortunately, the banks we have spoken to seem willing to assist, but it may work only on condition you have evidence, proving that you were not able to claim ahead of the set deadline by the fault of the bank. Santander even officially extended its deadline to 8 pm on Friday, 30 August. 

You missed the PPI deadline because of EXCEPTIONAL CIRCUMSTANCES.

You may STILL be able to submit a complaint but no longer a reclaim, except in cases you intended to submit it before the 29 August deadline but missed it due to the exceptional circumstances.  All the interviewed banks approved that they would reconsider the PPI claims made after the deadline in the reference of exceptional circumstances case-by-case.

Now, let us take a closer look at what are “exceptional circumstances.” This term is still debatable, and there is no exact definition. The banks reconsider each case on an individual basis. Some major diseases, including being in a coma, fall into the category.

The free FOS has already set out examples of potential exceptional circumstances. Therefore, if it applies to you, we strongly recommend you to contact your bank and explain your situation to them right before submitting a reclaim.

Submitting a PPI claim through the court

To make a PPI complaint after the deadline, you can go to the law and make a small claim. However, there is no guarantee it will work smoothly. According to our research, there is not plenty of successful cases, and only one reported last year. You need to make sure you manage to get all the required details and take control of the situation yourself. Alternatively, you can hire a solicitor (on a no-win, no-fee basis) to do it for you.

Regularly in the small-claims court, the time – frame of your complaint is six years after the PPI selling or the moment you become aware of the issue. Besides, to strengthen your case, you need documents confirming the existence of your PPI. If your claim is exceeding over £10,000, the specialists deal with it themselves; though, the initial application process would be the same as for the claims below this sum.

Already got a PPI payout? Reclaim the tax and get back £100.

If you have been lucky enough to get your PPI payout before or after 6 April 2016, you can also reclaim the paid tax, worth £100, or even £1,000 in some cases. Non-taxpayers have to pay back the tax on payouts, which came before 6 April 2016 as well.  

The reason is that most savings interest, including the interest on the PPI refunds, is eligible for the personal savings allowance (PSA). Possible profit in interest income each tax year for basic rate taxpayers is up to £1,000 tax-free, higher rate — £500, and an additional — £0.