Tried To Claim For PPI And Failed? With The New Laws, You Can Claim Again
The Legal Landscape for PPI Claims has changed in the recent times and you can now use the new laws to review previously rejected claims. The judgments in Plevin vs Paragon Personal Finance allows people to bring an unfair relationship claim based on non-disclosure of commissions. As a result previously rejected cases can now be re-opened on fresh grounds of complaint. If you have had a prior claim for PPI rejected by your bank or lender, then you can take this opportunity to make a reclaim now.
The opportunities to re-examine old PPI cases fall into three categories:
“Secret Commission” Claims
This recent change in law has established that a Bank’s/Lender’s failure to disclose commission earned on the PPI policy sale may allow the customer to argue that the sale of the PPI was unfair under the rules of the Consumer Credit Act. It is believed that 40% of all credit cards and personal loans fall within the scope of the Consumer Credit Act. This newly introduced law means that previously rejected PPI claims can now be re-opened on fresh grounds of complaint that the sale was unfair due to “secret commissions” that were made to your banks/lenders.
Your claim will be reviewed to check if it falls under the new law and will afterwards be re-submitted. If your claim is successful, your lender will be forced to pay you full compensation along with a statutory interest of 8%.
Cases Rejected For Having No PPI
A number of big banks have been fined for failing to handle PPI claims fairly. The biggest fine was made against Lloyds Bank but they haven’t been the only culprit. You now have a free PPI check facility online with some claim management companies where they conduct full searches with the majority of banks to find full details of accounts going back to the mid 1980’s and check if you have been mis-sold PPI. This is a relief for those who don't have account numbers or documents to conduct these searches.
Many people had tried earlier to claim but were told by their bank that they didn't have PPI. When checked online, it was found that they had been sold PPI. These previously rejected claims can be re opened now.
Claims Settled With “Goodwill” Payments
In the early days of PPI claims many customers were fobbed off with Goodwill payments of compensation where they were unfairly just paid with £500 or £750. It is unlikely that that payment represented the full value of their claim and was unlikely to have included the statutory interest of 8%.
If this happened to you, speak to a reputed claim management company as they may be able to force the banks to re-investigate claims wherein you may have already been paid out but you may have not received the full value that you were entitled to.