As the deadline fast approaches, the window for reclaiming PPI is shrinking. For anyone with a potential claim to make, the next few months are critical for ensuring you recover the money you are owed.
It is estimated that around 60 million Payment Protection Insurance (PPI) policies were sold to individuals across Britain. It is also estimated that around 20 million claims have been made since the end of 2018. This is a huge number of people reclaiming PPI, but the majority of potential cases have yet to be made. The result is that the vast amount of compensation available — compensation that rightfully belongs to private citizens of the United Kingdom — is being held by banks.
What’s worse, time is running out to reclaim PPI.
In 2019, the ability to reclaim PPI will cease. For consumers who don’t make a claim by this time, any compensation that may have been accessible will be lost.
When Is the PPI Deadline and What Does It Mean?
In March 2017, the Financial Conduct Authority (FCA) announced that the 29th of August would be the final date on which a PPI repayment claim can be filed. The deadline was established by the FCA to ensure banks and lenders that originally mis-sold consumers Payment Protection Insurance are not subject to claims processes indefinitely.
Andrew Bailey, Chief Executive of the FCA, is quoted as saying:
“We believe that two years [from when the deadline was announced] is a reasonable time for consumers to decide whether they wish to make a complaint. We have carefully considered the feedback we received and we still believe that introducing a deadline for PPI complaints and a communications campaign warning of the deadline will benefit consumers.”
What this means for you, the potential claimant, is that following the 29th of August 2019, you will be unable to reclaim PPI.
Can I Reclaim PPI after the Deadline?
Once the PPI deadline passes, you will have no recourse to reclaim PPI. Even if you discover strong evidence that you were mis-sold the insurance policy, and are due a substantial refund, you can no longer make a claim.
There are no exceptions to this PPI deadline rule.
The FCA has made this very clear. Even in the case of individuals in a vulnerable position, who may not currently have the support to lodge such reclaim complaints, the deadline stands absolute. If you think you may have been mis-sold a policy when taking out a loan, credit card, mortgage or other financial product, you must reclaim your PPI now.
How Do I Make Sure My Claim Goes through before the 29th of August?
All claims made prior to or on the deadline will be investigated and provide compensation in full if successful, which means even if you lodge your complaint on the 28th of August, you will still have the opportunity to run a full claims process. The banks should provide a resolution within eight weeks of the initial claim date, but there is no deadline to when the claim must end, as some investigations can take months, following extensive checks and searches for records — the only deadline is for when a claim must be made.
How Far Back Can You Reclaim PPI?
The prevalence of mis-selling PPI goes back as far as the 1970s, with the majority of policies being mis-sold in the 90s and early 00s. All mis-sold PPI is subject to reclamation and compensation, no matter how far back the claim may go — so if you took out a mortgage in 1986 for example, you may potentially have a claim to make and should investigate. Having the paperwork for this will heavily support the chances of a successful claim, which means it is worth digging out those boxes of old records that have been stored in the attic for 30 years — even if they’ve been there since before Livin’ on a Prayer was in the charts.
When it comes to a reclaiming PPI, there are only three factors that will hinder your efforts:
- The fact that you weren’t actually mis-sold PPI
- The August 2019 deadline
- If your account with the bank in question has been closed for six years or more.
On the account of point three, the issue here lies in the fact that many banks will no longer maintain records of their clients after a six-year period. This does not mean you cannot reclaim PPI if it was mis-sold to you, but the investigation must be carried out on a much deeper level and often requires expert support. Again, paperwork can really help here, so any evidence you can gather will be beneficial.
Banks cannot get out of paying you what you are owed, even if the policy was mis-sold decades ago, but only if you make your claim prior to the deadline. Remember, the 29th of August 2019 is your last chance to reclaim PPI.
Concerned that you might not have the evidence you need, or worried about getting your claim in before the deadline? The best PPI claims companies, those that have the tools and expertise to support your claim, use Logican’s claims management software. This software helps companies process PPI claims to the highest possible standards.
