How To Make A Mortgage Payment Protection Insurance Claim

How to make a mortgage payment protection insurance claim.If possible find your copy of your Mortgage PPI policy's terms and conditions. If you can't find them, contact your lender to ask for a copy. Make sure it dates back to the time of your agreement as terms will change over time. Lenders can ask for £10 to provide this so include a cheque for £10 or a postal order to speed things up. The providers of PPI have a responsibility to ensure that you understand the nature of the product and that it is appropriate for you. All polices will have certain exclusions and you should have been told about them. As most policies are bought with a loan or credit card rather than standalone the key thing is. What was said at the point when you were sold the product? The following are the key mis-selling categories and you fit one or more of these you probably have a case to make a mortgage payment protection insurance claim but it is best to check with your claims management company first. If you have received a payout from the insurance, you won't be able to claim the policy was mis-sold to you. Single Premiums A single premium mortgage protection insurance policy is where the whole cost of the insurance is added as a lump sum at the start of the agreement, which is then repaid over the term of the loan. If you had one of these polices and left or changed the agreement part way through, you may be eligible for a part refund. This form of insurance is now frowned upon. In March 07, the regulator, the FSA said it thought they were likely to be unfair to consumers as they were restrictive and most didn't allow refunds if a contract ended early, meaning you have paid the insurance for the whole term of the loan, even if it is not used. As a result of the FSA's report, new and existing loan contracts must now allow refunds if a policy is ended early. This opinion greatly improves your mortgage payment protection insurance claim case. Were you told or sold the wrong thing? This covers anything from being told the mortgage protection insurance was compulsory, to not knowing you had even purchased PPI, to the fact you were already covered through work or your partner. It also applies if the policy isn't what you agreed to, you got store card cover in a shop and it was not explained or you didn't realise it's a joint policy but only in one person's name. Lenders selling PPI polices are obliged to tell you about the specific criteria of the policy and to confirm it's the right product for you. However, because PPI polices earn providers a high proportion of profit, staff are often highly encouraged to sell as many as possible, and are well remunerated for doing so, meaning mis-selling is rife. When you contact a lender by phone or in person about your mortgage payment protection insurance claim if they don't give you fair, correct and reasonable information it's likely you were mis-sold. Due to the volume of complaints, the regulators are quick to act on this issue. Some common examples of PPI mis-selling Were you told insurance was compulsory? It's a common complaint that consumers are told they must buy a mortgage protection insurance policy from the same provider as the loan or credit card to be accepted for the product. Any company that subscribes to the banking code agrees it will not insist that you buy an insurance product from them, so although it can request that you have PPI from somewhere, it does not have to be from them. Therefore if the salesperson: * didn't make it clear the mortgage protection insurance policy was optional, * implied or stated the loan would be more expensive if you didn't take the insurance, * implied or insisted you take out their policy to qualify for the product or help with your application, * was very pushy when selling the product so that you felt you could not say no, * would not let you continue with the loan application if you did not sign the insurance agreement as well, Did you already have insurance cover? If you were already covered - for example you had a separate income protection policy or your employer provided an illness and redundancy package, and you informed the salesperson that you had this cover but they insisted you also had to take their insurance; or you weren't asked if you had any alternative cover, go to the section. Have you tried to cancel your policy? Prior to Mar 07 some contracts had terms that said you could not cancel the mortgage protection insurance policy even if you had paid off your loan or had a change of circumstances. Since the FSA looked into these refund terms, cancelling is now possible for all current and future contracts. So if you tried to cancel your policy and were told you weren't allowed or that you needed to take out a new agreement with different terms claim now!