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PPI is considered one of the biggest financial scams in the history of the UK banking industry. Ever since PPI victims realised they were missold the policy, there has been an increasing number of claims being made for compensation.

People were not aware that they were paying for an additional insurance on top of the one they took out in addition to their loan /credit card and mortgage. This led to outrage that many were paying for a policy they were unaware of, in some cases being added by the lender without consumer consent.

The lack of government intervention added fuel to the fire. The victims had to wait for almost two years in order to receive their money back. The complexity of the claim making process and the never-ending waiting list took a toll on all the victims of this scandal.

This resulted in the emergence of an entirely new industry, which carries out paperwork on part of customers. In return these companies charge fees for helping them get back the compensation they are rightfully owed.

According to research, “the PPI claim industry has flourished in the recent past.” PPI victims have acquired good amount of assistance from such companies.

There are a huge number of people who have suffered financially because of mis-selling of the PPI policies.

Additionally, public bodies were not of good help to the sufferers. Public bodies such as FOS (Financial Ombudsman Service) functioned at a very slow pace and therefore, they failed to take necessary action at the right time. This boosted PPI policy providers to trap more victims in the loop and increase more problems.

Furthermore, the government failed to take effective action at the right time and with the right approach which resulted into dull outcomes. These adverse effects were solely borne by the victims.

Fortunately, with the aid of an expert team which is run by professional companies the pace of PPI mis-selling slowed down. People became more aware about the situation and started taking action against it.

Even after the cat was out of the bag, consumers fell prey to more conspiracies by financial institutions. This added to the scandal, which led to many consumers needing a way out to get the right compensation.

Approximately, two and half a million customers fell into the trap of financial institutions alongside credit cards and loan offers. Bank managers found this a lucrative option to gain more customers and earn money. They neglected the fact that the customers are the ones who presumably will bear the repercussions. Sales personnel used fraudulent techniques to achieve their monthly sales targets.

The scandal had an extravagant effect and it dominates the workload of various financial institutions. Millions of victims suffered and in the last 2-3 years and around 92,000 fresh complaints have been re-opened against the banks.

The process of making a claim is simple to understand but you need to put your efforts to claim for the compensation that you deserve. Obviously, you will have bitter feelings towards the financial institution but you will have to be cordial with them in order to acquire your compensation.

However, its also been witnessed that financial institutions always find a way out to delay compensation or make part payments to the victims. Additionally, some brokers submit fake evidence citing that the policy has been terminated on mutual terms.

Altogether, this scandal has had an impact on numerous lives in the United Kingdom and that too to a great extent. Fortunately, the scenario is changing and some victims are acquiring their compensation after struggling for so many years.

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