What to Look for in the Best PPI Company
Knowing the best PPI company from the worst is not always an easy task. It pays to do some research before making a claim.
It is expected that a large amount of claims for mis-sold payment protection insurance (PPI) will be made later this year, when the Financial Conduct Authority (FCA) launches a multimillion pound advertising campaign on the subject. The scandal has been dragging on for many years now and the FCA wants to bring it to an end and restore credibility to the UK financial sector.
The authorities advise people that they are entitled to make their own claims over mis-sold PPI policies and it is certainly possible to do so. However, people often feel wary about going up against the big banks in making a PPI claim. Many are unsure what to do and fearful of losing out on a substantial compensation payment. Naturally, they try to use the best PPI company they can find.
This is why a significant number of people turn to the professional assistance of PPI claims firms. They are the experts in dealing with the banks and getting clients PPI refunds and compensation. Payouts can be in the hundreds or even thousands of pounds, and to date, they have averaged around £2,800.
There are hundreds of claims companies around the UK, all vying for people’s business and promising they can handle cases in the best possible way. There is an enormous amount of money at stake. During the previous rush of PPI claims, claims management companies collectively earned around £5 billion in fees. Since 2011, a total of £26.7 billion has been paid out by the banks in PPI claims. Not all PPI claims firms are the same and for someone who is inexperienced in the sector, it can be difficult to know which is the best PPI company for them.
‘Biggest UK Financial Scandal Ever’
PPI has rocked the UK financial sector like no other scandal, after it emerged that the big banks were attaching the product to loans, mortgages and credit cards. Sometimes, account holders were unaware they had PPI, but were nonetheless paying for it, amounting to what has been termed the biggest (or costliest) financial scandal in this country.
Not only were the large financial institutions earning enormous sums from PPI; they were guaranteed that repayments on loans and credit cards would continue to be made in the event of a customer becoming ill or injured and being unable to work, or passing away. This, after all, is what PPI was designed to do: to protect the customer (and the bank) from defaults.
Now, the FCA is giving people until August 2019 to make a claim for PPI if they think they have been mis-sold the product. Its large ad campaign is expected to begin around August this year and it will attempt to create as much interest as possible in PPI claims. This is so that those remaining people who were mis-sold PPI can make a claim for a refund or compensation and the scandal can finally be brought to an end.
All sides are gearing up for the coming deluge of PPI claims; not only the banks’ customers and PPI claims firms, but the banks themselves. They have put aside billions of pounds to cover what they estimate will be a second round of costly payouts. Everyone is bracing for the looming, multibillion-pound claims storm.
Finding the Best PPI Company
Most PPI claims firms make their money by taking a percentage of sums won in PPI claims, and there can be big differences in how much they charge. Some, for instance, may have fees of 15% of the amount won, while other claims firms can charge up to 30% and more. As with anything, it pays to do some research at the beginning and get the facts before going ahead with what you might think is the best PPI company.
One area to consider with PPI firms is their experience in the area and how much they have won for clients over the years. Often, they will detail the total amount they have recovered for their clients on their website, so it will be easy to check. Generally, if the amount is in the millions of pounds, it is possible to say they are highly successful at getting compensation for their clients.
Certainly, there are PPI claims horror stories that people are eager to avoid — and we hear them all the time. It is not only the deluge of nuisance calls from questionable firms that people don’t want to be hit by, but also follow-up communications trying to squeeze cash out of clients. Professional PPI claims firms will treat you with respect and dignity from the beginning of your contact with them, all the way through the claiming process. So if you feel harassed from the start, it’s probably best to look elsewhere.
Here at Logican, we work with some of the best PPI companies in the UK, providing them with powerful PPI claims software to help them professionally and swiftly deal with their caseloads. To find out which PPI claims companies we recommend, check out our previous blog which lists the leaders in the industry.
If you are a claims firm involved in the PPI sector and would like to know how our PPI claims software can help you get ahead, contact Logican today and we’ll tell you more. We can help you to get ahead of the competition, grow your claims revenues and become far more profitable.