Claiming for mortgage PPI explained
Like many other credit agreements, Payment Protection Insurance (PPI) is offered to thousands of people that take out mortgage plans with financial institutions. With the misselling scandal continuing, individuals may be wondering whether they have a claim entitlement. If a mortgage PPI plan was missold, then homeowners have every right to submit a claim for compensation.
Though mortgage PPI has had a lot of bad press in recent months, it does remain an important product. For homeowners, it means that should someone lose their job or be unable to work, the cost of mortgage repayments would be covered by the insurance firm. This can offer a financial lifeline at a time of great stress. However, in many cases, such cover may have been missold, offering people the ability to claim back thousands in compensation.
The first step that homeowners should take is to determine whether they were missold mortgage PPI. Consumers should have been made aware that cover was optional at the time of the sale; in addition to also having it revealed to them that insurance expenses would be added to loan repayments and that interest would be charged. If consumers were not aware of these options, then there could be a case to make a missold PPI claim. Depending on how long a PPI policy has been running for and how much repayments were, homeowners could look forward to a healthy sum of compensation. Though PPI can be a great product to protect homes, a badly sold package can offer a lucrative claim sum.