| Claiming PPI Compensation, Claims Management Companies, PPI, PPI Deadline, PPI Refund, PPI Scandal

Soon after the PPI scandal was exposed, customers started claiming for the amount they were entitled to for being mis-sold a PPI policy. The number of claims kept increasing as more and more customers started discovering the fact that they were mis-sold worthless PPI cover.  

Once The Mis-selling Issue Was Discovered 

As people started realising the fact that they were mis-sold the policy and were manipulated by their lenders, they started filing complaints against them. These lenders included almost all the major commercial banks and card companies that made customers buy the policy on unethical grounds. 

Initially, the issue of filing complaints and claiming was not that complicated as there were lesser complaints and lesser claimants. However, as time passed, the number of complaints started increasing and so did the load on the commercial banks. This ultimately affected their way of reacting to the complaints, as they started delaying the claims cases. 

Excuses Given By the Banks  

There have been several cases where the banks have refused the case saying that they were short-staffed and unable to handle PPI claims. Alternatively, another popular excuse was that the backlog of pending claims was delaying the processing of new claims. This is one of the most common reasons given by the banks in order to save as much money as possible. Mostly, it was done in the hope that claimants would stop pursuing their claim because of the constant delays. 

Another excuse that the banks gave is that of miscalculation. According to a report published by The Sun, banks would either call their customers or directly send them bills regarding the amount they owed. They claimed that an error occurred during the calculation of the final compensation amount and that the claimant were paid more than their actual compensation figure.  

Using this tactic, banks were able to snatch back a portion of compensation from their customers. Ultimately, this minimised their losses and saved them from setting aside a huge amount of PPI provision money every year.  

The Need of Claims Management Companies 

As the number of PPI complaints and claims kept on increasing, the pressure on the commercial banks and card companies grew stronger. This resulted in them being more stringent and rejecting more cases than they would pass.  

The lenders would look for the smallest of issues to refuse the claimant irrespective of how legitimate their claim was. In such an environment, it became difficult for an individual to handle the issue and get back the amount that was owed to them.  

As an alternative, several claims management companies (CMCs) were set up in order to assist a mis-sold buyer in making their claim and receiving their compensation. The advantage of having a claims company was the fact that they would provide the customer with all the expertise and skills that a customer would require to win back their claim.  

When Claims Companies Started Cold Calling 

The services offered by a claims company were huge and they were really helping the policyholders take their case successfully to the lenders. Just when everything seemed to be going smoothly, some claims companies started cold calling random people.  

It is always beneficial if a claims company calls you and asks you to go through a PPI check. But it turns into a nuisance when you receive a hundred of these calls in a day. Recently, in January 2018, one CMC made 75 million nuisance calls to the public over four months! 

This CMC was called Mis-sold Products UK, and it made several calls on a regular basis asking the receiver to check their PPI without their consent. The Information Commissioner’s Office (ICO) ruled this as illegal behaviour. 

According to the ICO, it is not legal for any company to make calls and force the receiver to act according to their wishes. This is exactly what some claims companies have been doing, which has raised a big question of whether to trust a company or not.  

Should You Ignore All PPI-related Calls? 

After all the chaos surrounding the nuisance calls, it is common for a customer to think they should ignore PPI-related calls. However, though cold calls may ask you the same thing a hundred times, it is never advisable them.  

This is because out of a hundred such calls, there may be one call that turns out to be genuine. In turn, that would actually help you claim your refund. There are still millions of mis-sold buyers that are due compensation for mis-sold PPI. And you can easily be one of them.  

Confidential PPI Claims, a Scottish-based claims company, has helped hundreds of PPI policyholders to claim their compensation and to finally win it back, simply through a phone call.  

The majority of the cases were won due to the Plevin ruling that allowed anyone holding a PPI policy and an undisclosed commission portion to get their refund back. No matter what the reason of payment was, the average payment made to the mis-sold buyers was around £2000.  

With the PPI deadline around the corner, the banks have admitted that there are still 36 million unclaimed cases of mis-sold PPI that need to be claimed. This is makes the prospect of ignoring calls relating to PPI very risky.  

It is advisable to answer the calls until you discover your mis-sold property. If you were mis-sold and your claim is in process, then you needn’t take any more calls. You can also lodge a complaint against the caller if you receive multiple calls at a high frequency.  

Nevertheless, it is always suggested that you take calls related to PPI unless you have already filed your claim for refund. 

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