With just 10 weeks to go to the PPI claims deadline and as the total of compensation passes £35 billion, an FCA spokeswoman has admitted there is still £10 billion waiting to be paid out.
The Financial Conduct Authority (FCA) has launched its last ditch appeal to consumers to make their claim for potentially mis-sold PPI before the final claims cut-off of midnight on August 29th.
A spokeswoman told The Mirror newspaper: “So far, £35.3 billion has been paid out in compensation, with major banks having set aside another £10 billion or so for future claims.”
Latest figures published by the regulator show the amount of compensation being paid on successful claims has been rising as the deadline approaches.
Last minute rush
The payout in February was £298.6 million, which rose to £325.9 million in March. April’s figure topped £334.3 million as thousands of consumers joined the last minute rush to make their claims.
Ten years after the mis-selling scandal first broke, lenders are still paying out an average of over £⅓ billion a month.
Many of Britain’s top lenders have had to continually increase their estimate of how much money they will need to pay successful claims as they continue to receive tens of thousands of new complaints a week.
Lloyds Banking Group (LBG) – which also includes Halifax and Bank Of Scotland – had already set aside more than £19 billion but added another £100 million in May, saying the extra cash was needed as they expected to receive up to 13,000 new claims a week until the deadline.
Do It Now!
With just over two months to the deadline the animatronic Arnie Schwarzenegger has been reactivated by the FCA, warning consumers ‘the pressure is on’ as the cut-off date approaches.
In a statement the regulator said it has had 3.9 million hits on its PPI website and 44,000 calls to its dedicated call centre since the campaign was launched.
Campaign Lead, Emma Stranack, said: “With just over 10 weeks to go, time is running out to claim back money for PPI. Simply put, if you haven’t complained to your provider by 29 August 2019, you won’t be able to claim money back for PPI – so you should make your decision as soon as possible.”
Do you have it?
If you haven’t already made a claim now is the time to be asking yourself the question – do you have it?
In truth, anyone who took out a loan, credit card, mortgage, overdraft, store card, car finance or any other form of borrowing over the last three decades may have had PPI attached to the agreement – even if they weren’t made aware of it at the time!
How was it mis-sold?
Sale of policies was governed by a number of exclusions and conditions which should have been checked by the vendor before a sale was completed.
You were possibly mis-sold if:
- you had a pre-existing medical condition at the time of buying PPI, which may have affected your ability to make an insurance claim
- you were advised that a pre-existing medical condition was included in your PPI policy (or advised that it wasn’t included)
- you received full sick pay from your employer
- you were already covered by another policy
- you were pressured into buying PPI or told you must have it
- you were promised a cheaper rate if you bought PPI
- you were told your loan or credit application was more likely to be accepted if you bought PPI
- you were advised to buy PPI that did not suit your circumstances or needs
- you were self-employed, unemployed or retired but advised to buy PPI
- it was not made clear that you would pay interest on the PPI if it was added to your loan
- it was not made clear that the PPI would end before the loan or credit was repaid
- PPI was added without telling you
- the amount of commission paid on the sale was not revealed at the time
Time is running out!
It’s not too late to make a claim if you think you were possibly mis-sold, even if you don’t have any documentary evidence to back it up or can’t remember all your policy details.
If you think you may have been mis-sold you need to do something about it soon. As Arnie says: “DO IT NOW!”