FINANCIAL PRODUCT CLAIMS
1. PAYMENT PROTECTION INSURANCE
WHAT IS PPI?
Originally, Payment Protection Insurance (PPI) was designed to help people with credit cards, store cards, loans and finance agreements if they ever found themselves in a tricky position, such as unemployment, resulting in them being unable to keep up with their payments. What can go wrong? You agree to pay a little extra money each month, then if the worst happens, (you have an accident or lose your job), and you will not have to worry about your loan, credit card or mortgage payments. Well, unfortunately. PPI insurance policies have been mis-sold to millions of people in Britain alone.
FACTS AND FIGURES
- Since 2011 over £27.4bn* has been paid out to customers who were mis-sold PPI.
- Since January 2017 an average of £241.00 Million has been paid per Month by lenders.
- Approximately £40.00 Billion has been set-a-side by the banks to payout the claims.
OTHER SYNONYMS OF PAYMENT PROTECTION INSURANCE (PPI)
Card guard, Repayment Protector, Repayment Option Plan, Payment Guard, Payment Break Plan, Accidents Sickness Unemployment (ASU) etc
ELIGIBILITY TO MAKE A CLAIM
If you’ve been paying for PPI and you believe that the following grounds apply to you then you may be entitled to claim back PPI:
- You were pressured into taking out PPI;
- It was not made clear that PPI was optional;
- The policy was added to your loan without your knowledge;
- You were advised to take out PPI but it was not suitable for you;
- You were not allowed to shop around and find the best features you need.
- It was not made clear that the PPI cover would end before the loan or credit was repaid.
- It was not made clear that you would pay interest on the cost of PPI if it was added to the loan;and
- You thought buying PPI was a condition, or would increase your chances, of obtaining a loan or other type of credit;
- Any significant exclusions were not explained, such as being self-employed or pre-existing medical conditions;
And it doesn’t stop there. In some cases, lenders can use the very thing that entitled you to your loan, store card etc to mis-sell the PPI policy.
If you were in any of the following situations when you bought your PPI, you may be able to claim back a substantial amount of money:
- Employed part time
- Employed as a Civil Servant
- Student (excluding student loans)
If you work as a Civil Servant, for the NHS or the armed forces, you are entitled to full sick pay, which can be an exclusion clause in many PPI policies. That means it’s unlikely that you would even have been given the opportunity to claim on your insurance.
HOW WE CAN HELP
If you previously had any credit facility from bank, building societies, card companies etc but you are unsure of the account number (s) or whether you actually paid PPI with those credit facilities then We Can Now Do An Initial PPI Eligibility Check For Free on your credit card, loans, mortgages & hire purchase. You only need to provide us with your:
- Name [Any Previous Name(s)]
- Date of Birth
- Current Address and Previous addresses
- Name of Lender
We shall retrieve the information about the PPI from your lenders and if we find PPI paid against any credit facility then we shall inform you and make a formal claim against that lender.
First Credit Advice Limited helps people to claim back their money they may have paid in PPI premiums against;
If you would like to talk to one of our specialist claim advisers, please call us on 08001700616, or email email@example.com.
DEADLINE FOR MAKING CLAIM AGAINST PPI FAST APPROACHING
The final deadline for making a new PPI complaint will be 29 AUGUST 2019. To encourage consumers to decide whether to act about PPI before the deadline, the FCA will run a two-year consumer communications campaign, this has been launched in August 2017.
NEW RULES FOR PPI COMPLAINTS AUGUST 2017
The FCA has also made final rules and guidance related to how firms should handle complaints in light of the Supreme Court judgment in Plevin v Paragon Personal Finance Ltd (Plevin). The Plevin decision means that consumers may have new grounds to complain about PPI regarding the amount of money that the providers received for the sale and if the failure to disclose that commission made the relationship unfair.
The new approach includes a 50% commission ‘tipping point’ at which firms should presume, for handling PPI complaints, that the failure to disclose commission gave rise to an unfair relationship, and that profit share should be included in firms’ calculation of commission. Redress will be calculated as the excess commission over the 50% tipping point. The FCA will also require all firms to write to previously rejected complainants who are eligible to complain in light of Plevin in order to explain the new basis for complaining to them.
Under new rules banks and other providers have to consider complaints about commission they earned from the sale of PPI. These rules followed a Supreme Court decision in Plevin v Paragon Personal Finance Limited in 2014 (usually called just ‘Plevin’).
If you complain about mis-selling of PPI, your provider will usually also consider commission they earned, as part of your complaint – even if you don’t mention it.
COMPLAINT ABOUT COMMISSION EARNED BY A PROVIDER
You can make a new type of complaint – about the commission a provider earned from the sale of PPI – even if you had a previous complaint about mis-selling of PPI rejected.
If you had PPI there are 2 reasons you might be eligible to claim back money you’ve paid for the policy:
- PPI was mis-sold to you – as explained on the previous page
- the bank or other provider earned a high level of commission from the sale of PPI, but didn’t tell you this when you bought it – as explained below
CLAIM THAT A PROVIDER EARNED A HIGH LEVEL OF COMMISSION
A bank or other provider was usually paid ‘commission’ by the insurer, as a reward for the sale of PPI. If you had PPI, the money for this commission would come out of the payments you made for the policy. You can now claim back some of the money you’ve paid for PPI, if the bank or other provider earned a high level of commission from the sale of PPI but didn’t tell you this when you bought it. A ‘high level of commission’ typically means it was more than half of what you’ve paid for your PPI policy.
You do not need to know or explain how much commission was paid for your PPI policy, so if you aren’t sure you might want to complain.
You may be eligible to get back some money if your PPI policy covered repayments on a credit agreement – like a credit card, loan or mortgage – and you:
- took it out before 6 April 2007, but it was still open on or after 6 April 2008 (even if you had stopped using it)
- took it out on or after 6 April 2007 (whether or not it was still open on or after 6 April 2008)
REJECTED COMPLAINTS ABOUT MIS-SELLING OF PPI
If you had a previous complaint about mis-selling of PPI rejected, you can still complain about commission earned by a bank or other provider.
You might not have to give all the information about your policy or circumstances again. Contact your provider or check their website, to find out what you need to include in a new complaint.
Banks and other providers are sending lettersto people who had a previous complaint about mis-selling of PPI rejected, to explain that they can make a new type of complaint about PPI. These letters must be sent by the end of November 2017, but you don’t have to wait until you receive a letter to complain about a provider earning a high level of commission.
SUCCESSFUL COMPLAINTS ABOUT MIS-SELLING OF PPI
If you previously complained about mis-selling of PPI and were refunded some or all of the money you’ve paid, you will not get back more money if you now complain about commission earned from the sale of the same PPI policy.
CHARGES:We shall charge 20% plus VAT at the back end if the claim remains successful.
MIS-SOLD PACKAGED BANK ACCOUNT
WHAT IS A PACKAGED BANK ACCOUNT?
Packaged bank accounts also known as “Paid for” accounts, usually charge a consumer with a monthly or annual fee. These accounts can be called a lot of different names such as Gold Account, Premium Account or Reward Account etc but the thing they have in common is that they usually include a range of insurance and non insurance benefits.
A typical account might include travel insurance and mobile phone insurance – as well as car breakdown cover, preferential rates on overdrafts or loans, use of airport lounges, and discounts on various products and services. Consumers usually pay between £5 and £25 each month for an account.
Packaged accounts can be a good option for many people – saving them time and money. They can work well as long as people know what the benefits are, whether they can use them and what they have to pay for them.
- You were sold an account with bundled products you would never need
- The sales advisor pressured you into it, making you feel like you had no choice
- You weren't told about any other available products
- You wanted a loan or mortgage and were told you had to have a Packaged Bank Account to get one
If any of the statements above ring a bell, there's a very good chance that you were mis-sold a Packaged Bank Account. This means you were mis-advised into buying a product that, at best, cost you unnecessarily; at worst, left you high and dry when you needed cover. That's wrong - and we're here to help you fight back.
HOW WE CAN HELP
We offer an honest, expert, hassle-free service with no upfront costs. We are regulated by the Claims Management Regulator in respect of regulated claims management activities and we have our own stringent Code of Conduct. First Credit Advice Limited will be doing everything in our power to secure you the financial justice you deserve.
If you would like to talk to one of our specialist claim advisers, please call us on 08001700616, or email firstname.lastname@example.org.
CHARGES: For the Packaged Bank Account claim we shall charge 20% plus VAT at the back end if the claim remains successful.
Key financial claims are a direct result of the individual receiving wrong or bad advice for their circumstances from their Financial Advisor when they were being advised to invest some or all of their savings. Please bear in mind that rules have changed over the years so the financial advice given at the time may have been deemed appropriate at that time but now as a result of changes it is no longer deemed as appropriate for your needs and this does not stop you making investment claims now.
Mis sold investment could apply to any of the following products:
- Investment Bonds
- With Profit Bonds
- Individual Savings Accounts (ISAs)
- Personal Equity Plans (PEPs)
- Unit Trusts
- Open ended investment companies (OEICs)
- Guaranteed Bonds
The above mentioned are example of the type of products in the investment range that may have been mis-sold in the past but it is not an extensive list so if your investment product is not listed and you feel after reading the rest of the information you may be a victim of financial mis selling then please get in touch with us by calling our office number and one of our staff will be happy to assist you further.
WHAT SHOULD YOU LOOK FOR IF YOU THINK YOU HAVE BEEN A VICTIM OF INVESTMENT MIS SELLING?
This is where things become more tricky and where you need to understand a bit more but we will attempt to keep it as simple as possible and if after reading it you are still not sure then please contact us and we will assist you further. At the time of investment did the advisor take into account the following?
- Your personal circumstances when you took the investment out: Your personal circumstances were not properly considered. If you were in retirement then it is worth getting your investment audited although this is no guarantee you have been mis sold. Again this has to be looked at and your age at the time also comes into consideration with this question as the older you were the percentage of investment potentially should have been small compared to the savings you were left with. What liabilities you had at the time of the investment is another critical question that needs to be answered.
- Your level of investment experience: This can say a lot about your attitude to risk, investment objective and target value which may result in the investment product being mis-sold.
- Alternative products: You were advised to invest all or most of your savings into a single product. Also you were not given a comparison of less risk bearing alternate products available to you. Or you were not given an open market option
- Your savings: You were sold an investment product to generate income but did not realise that if the growth is not sufficient your capital would be eroded. Where did you get the money to invest also needs taken into consideration and most importantly does your savings that remain and previous investments match the risk profile that has been recorded at the point you were sold the investment.
- Risk Mitigation: You were sold an investment without having been properly advised on the risks or discuss with you what you would do as an alternative if an investment didn't perform.
- Merits and Demerits: You were not defined the advantages and disadvantages of your product in full or documentation of charges was not given.
This is some of the areas that should be looked at to see if you have been a victim of mis selling in the past.
It is also important to point out at this point that people who have lost their loved ones and discover they had investments which they feel may be inappropriate can ask for them to be reviewed also as long as the executor of the will gives permission for this to take place. If this is the case you will need as much paperwork as possible to help with your case or a sympathetic bank or financial advisor as you cannot apply for a Subject Access Request for a deceased person although in our experience banks have been very accommodating as they realise people are still grieving for their loved ones.
HOW WE CAN HELP
We offer an honest, expert and hassle-free service. We are regulated by the Claims Management Regulator in respect of regulated claims management activities and we have our own stringent Code of Conduct. First Credit Advice Limited will be doing everything in our power to secure you the financial justice you deserve. If you would like to talk to one of our specialist claim advisers, please call us on 08001700616, or email email@example.com.
CHARGES: For the Mis-Sold Investment we charge 20% plus VAT at the back end if the claim remains successful.
OUR CLAIM MANAGEMENT METHODOLOGY
We plan to help customers in financial matters through a highly skilled legal panel with a specialist claims management administration, to provide all of our clients with a results driven service. We intend to provide optimum customer satisfaction by providing you with peace of mind.
- Eligibility: As per the client’s inquiry of their intention to claim mis-sold Payment Protection Insurance / Identity Theft Insurance or Unfair Charges, First Credit Advice Limited will then review the client’s information and assess if the client is eligible for our services. We shall use the FOS Questionnaire for accessing the eligibility of the customer to claim against his/her credit.
- Information Pack: We shall follow the practice to send the information pack to all the inquiring clients. It will be sent to the client prior to signing up with us. The information pack will contain all the relevant information about us and our services.
- Signing Up: If the client qualifies the eligibility test and would like to take on our services after going through the information pack we will then send the client a letter of authority, contract and our terms and conditions. After receiving the Contract and Letter of Authority we shall send an invoice to the customer.
- In-House Process: On receipt of payment we shall request the lender to send us the SAR (Subject Access Report). After getting the SAR report we shall calculate the PPI/ITI and unfair charges and will send a letter to the lender for claiming those back. On successful claim, we shall send invoice to the customer to pay our reclaim fee.
- Updates: Updates will be taken on a day to day basis from the lender and will be provided to the client either in written format or over the phone.
EXAMPLES OF THE COMPANY'S FEE STRUCTURE:,
Compensation is cash award – Mr. A is awarded £3,000 compensation. Mr. A will receive £3,000 and pay a fee of £750+VAT.
Compensation includes cash award with loan and future installment reduction – Mrs. B is awarded £3,000; £2,000 of this award will be deducted from the outstanding balance on her loan. Mrs. B will receive a reduction of £2,000 from her outstanding loan and a reduction on her monthly payments as well as a £1,000 cash award. The Company's fees will be calculated on the total reduction on her loan and her cash payment but not the reduction on her monthly installments. Mrs. B pays a fee of £750+VAT.
Compensation is used to offset arrears consumer has on credit card or loan – Mr. C is awarded £3,000 in compensation which is applied by their lender to reduce their arrears on their loan. Mr. C will pay a fee of £750+VAT.
Risks Involved in making claims: There is a possibility of losing you upfront fee of £100.00 if your claim gets rejected. For making a claim against the lender where you are not sure about the genuineness of your claim, there is a possibility that the lender might take legal action against you.
Alternate Mechanism for Claim: If you wish to pursue your PPI claim by yourself then you can follow the link: http://www.financial-ombudsman.org.uk/consumer/complaints.htm
Your Right to Shop Around: You have the right to shop around and seek any further advice from other Claims management companies before you sign up with us if you feel there is something out there more suitable to you.