Barclaycard and The PPI Scandal
The Financial Conduct Authority has introduced a 'PPI claim by' deadline of 29th August 2019.The big five banks have paid out £24bn in compensation so far and have set aside a further £32.6bn to deal with the estimated claims that will come forward during that time. Don’t delay start a free PPI check today!
PPI seems like a complex issue, however once you drill down into the details it’s very easy to grasp and you can easily figure out if you’ve been mis-sold the product and may therefore be due a refund. We’re here to provide you with the details to make the process as stress free as possible.
What is PPI Anyway?
PPI is an optional add-on that covers repayments on finance agreements such as:
- Credit Cards
PPI was initially designed to cover policy holders who were unable to meet monthly payments due to:
However, many PPI policies were mis-sold to people who would never of been eligible to put in a successful claim and also added unknowingly to loan, credit card and mortgage agreements, thus the scandal began.
It’s easy to start a claim with PPI.co.uk. All we need is your contact details, date of birth, the address you lived at the time of the borrowing and a signature.
Recent figures show that just 6 out 10 claims that are made without the help of a company like ourselves are rejected, either because the claimant hasn’t got access to the required information or because they haven’t got the experience of dealing with these kinds of processes.
PPI.co.uk has been helping customers retrieve what has been rightfully owed to them since 2007 and during this period we’ve successfully processed over 169,000 successful claims and claimed over £274 million for our customers.
PPI cases are rarely ever the same, and some, particularly the older policies, can be very difficult to achieve a refund. However, it’s these difficult cases that have helped us build our reputation because we’re able to draw from our experience for other similar cases and achieve excellent results for our customers.
Because of our standing in the industry we have brokered a deal with the major banks and lenders, which means that we’re not required to submit anything more than a name, date of birth and address. Once the banks have this information they’re able to access their databases and determine if any PPI was added onto any finance that customer may have taken out.
This kind of agreement is a relatively new one and is only available to select companies such as PPI.co.uk.
‘Was I Mis-Sold PPI by Barclaycard?’
Barclaycard was by no means the only lender that has been forced to set aside billions to compensate those who were mis-sold PPI. The mis-selling of Payment Protection Insurance dates back as far as the seventies, and these policies have been sold over the years in a variety of different ways; on a variety of products including credit cards, loans and mortgages.
5 biggest banks in the UK have set aside a further £32.6 billion to deal with the total compensation bill.
Source: FT Graphic
When Did the PPI Scandal Begin?
Problems with PPI were first brought about by the consumer magazine Which?, questioning whether the product was actually above board. The product was under intense scrutiny because of the expense and eligibility of some of the customers who’d purchased PPI and their ability to actually make a claim on the policy. Despite the knowledge that PPI was under the microscope, banks still sold PPI policies until 2005 when a Financial Services Authority released a report on PPI and the poor practices that were being used to sell policies
Only a year later small companies who mis-sold PPI policies were beginning to find themselves the recipients of large fines from the FSA for their part in mis-selling. Big brands that believed they could continue to rip off customers were sadly mistaken, as the huge fines began to come down hard on them.
Research conducted in the late nineties suggested that over 2 million people in the country had been paying for PPI policies that they had absolutely zero chance of being able to claim on if the worst should happen. A further 1.3 million people were believed to have been sold the insurance on the understanding this was the only way they could be approved for a line of credit – which is of course false.
How Did Barclaycard Mislead Customers?
In a shocking number of cases PPI was added onto a customer’s policy without their knowledge or permission. Most customers didn’t notice they were paying for a policy because the PPI payments were hidden within the regular loan payments.
Some sales staff would use hard sell techniques with their customers pressurising them into taking a PPI a policy with their product and banks incentivised staff to sell these policies. If customers weren’t given the full brief about their loan and sales staff went on to encourage and push them to take out PPI, then this could be classed as mis-selling. Some customers reported that bank staff would ask open ended questions making it hard for people to just refuse the policy outright. Other policies were sold to people who would not have been covered as they did not meet the requirements of the policy therefore it would leave them unable to claim on the policy should something happen to them or their employment status.
Sometimes the terms and conditions of the policy were not fully explained at the time of sale; they were told it would cover all instances of illness and absence from work, however it did not cover things like mental or stress related illnesses despite being advertised as such.
Can I Make a Claim Against Barclaycard?
In order to find out if you’ve been mis-sold a PPI policy, you must ask yourself the following questions:
- Did you know that you had a PPI policy while purchasing your Barclaycard credit card?
- Was the cover optional?
- Did Barclaycard ask about your medical history?
- Did Barclaycard ask about any kind of on-hand PPI cover or about any sick pay from your employer?
- Did Barclaycard inform you of the full cost of PPI or about cancelling the policy?
- Did Barclaycard ask you to read any terms and conditions about your PPI policy?
- Did Barclaycard supply you with any written documentation about your PPI policy?
- At any point of time, did Barclaycard discuss with you: the features, benefits, restrictions, and exclusions of a PPI policy?
If the answer to any of these questions is no, then you may be eligible to go ahead and make a PPI claim. As per the law, Barclaycard is responsible for offering complete and precise information about any insurance product on offer. Therefore, if they have failed to give you the necessary details about PPI, you could be entitled to claim back the money you have paid for PPI which could amount to thousands of pounds.
In order to have a valid PPI claim and get a hold of what is rightfully yours, you will need to provide Barclaycard with as much information about your PPI claim as possible. According to Barclaycard and most banks, the information that is required from you is as follows:
- PPI policy number.
- Details of the key dates of the policy.
- Information about how the policy was sold.
- Employment status at the time the policy was sold.
- Details of any savings or other insurances you had when you took out the policy.
- What you took out the finance for and the amount you paid off.
If you have attempted to claim back PPI and you were rejected, then don’t give up. You can contact the FOS (Financial Ombudsman Service). They will independently assess your claim and decide if your case is worth pursuing or not.
There is however a much simpler way. Simply provide us with your name, date of birth and address and we will check for you completely free. We do not need account numbers that you may longer have.
Why is it Important to Get a Move On?
The Financial Conduct Authority has put forward its intentions to introduce a ‘PPI claim by’ deadline for 2019. The Financial Regulator wants the ruling to be confirmed by the middle of 2017 along with a public awareness campaign. The big five banks have paid out £24bn in compensation so far and have set aside a further £32.6bn to deal with the estimated claims that will come forward during that time. Don’t delay start a free PPI check today!
PPI Claims Deadline
Mis-sold PPI Compensation claims MUST be made by 29th August 2019 under a deadline announced by the Financial Conduct Authority. If you want a refund it is important for you to act now as industry experts predict a huge surge of claims that could create a back log.