Am I Eligible For A PPI Claim?

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It can be a bit difficult to know whether you might be able to make a PPI claim. Basically you need to have been paying for PPI but not be able to claim on the insurance. This could be because you were not aware that it was there or because you were not eligible to make a claim. Some more specific examples follow.

Not aware you were paying for it
You may have been paying for PPI but not know that it was even included in your repayments. This was quite often done where the salesman put it in so that they could get the benefit of the money but not tell customers it was there. Then there could not make a claim on it, even if they needed to because they were not even aware that it was there. If it is in the small print but you were not told, then you may have a case, but if it was not mentioned on the policy at all but you were paying, then you will be able to make a claim.

Told it was compulsory
Some people were told by salesmen that it was compulsory for them to have the PPI insurance or else they would not be able to take out the loan. This was not the case and they were lying. Anyone who was told this, will be able to claim compensation.

Not being told the cost
If you were not told the full cost of the PPI then you could make a claim. You may have decided not to take out the insurance had you realised how expensive it was and therefore you can make a compensation claim because it was not fully explained. This counts as miss selling.

Unemployed
If you were unemployed when you were sold the PPI then you will not have been able to make a claim. The policy will cover you if you get made unemployed and cover the payments but if you were already unemployed then it would not be valid and so you should not have taken it out.

Retired
If you are retired you cannot claim on PPI as you are not earning an income and so there is no risk that you will lose it and not be able to pay the bill. Therefore you should never have been sold the insurance in the first place.

Student
A student that is not working ill not be able to claim on PPI because they have no income. This means that they should never have been sold PPI.
So if you fall in to any of these categories you will be able to make a PPI compensation claim. It is therefore important to find your documentation for your loans and see whether you were paying for PPI. If it was hidden, then you will not know and so it is worth telephoning the lender and asking them about it. Many of them have dedicated helplines so you can get the help that you need.

About Author:
Chris is a tax consultant who loves to write on business and finance in his free time. He suggested one of his friends to get advice on claiming ppi when he was going through a rough financial year.