Getting the Decision
Upon receiving your letter of claim, the lender in question must acknowledge its receipt and begin actively investigating. The FCA, who regulate the lenders, state that they must respond to the complaint within eight weeks, with either:
- A final response to the complaint, advising whether they are upholding or rejecting it,
- A reason as to why they have been unable to reach a decision as of yet; delays can occur if further information is required to complete the investigation. It’s important that you respond to these requests as soon as possible to prevent any delays.
A final response to the complaint would be either:
- A recognised case of PPI mis-selling, in which we aim to recover 100% of any premiums that you have paid, plus any interest paid on those premiums and where possible a further 8% in simple interest
- A rejected claim and the reasons behind it, which would be explained in writing
Frequently asked questions
Getting an acknowledgement…
Gladstone Brookes issue a letter of complaint to your lender, who must then confirm they have received, logged and opened a case for your complaint – this is normally in writing to Gladstone Brookes.
The “reasonable period of time” in which lenders should acknowledge a complaint is 14-21 days from it being issued. If there has been no communication beyond this period, Gladstone Brookes will chase the lender and re-issue the complaint if necessary, until the lender acknowledges receipt of it.
How long will my case take?
On average, claims take 8-16 weeks from the date of the lender’s acknowledgement to a decision being made. The guidelines set by the FCA, who regulate the lenders, state that the lender must respond within 8 weeks with either a final response, or a reason as to why they have been unable to reach a decision at that point.
We liaise directly with your lender and if we feel there has been inadequate communication or lack of decision / acknowledgement within reasonable time, we will take necessary action to ensure your case gets resolved. In some circumstances, we would consider referring your case to the Financial Ombudsman service (FOS), if we found it to be the best course of action to take.
What happens if my complaint is upheld?
Fantastic! If your lender advises that they are upholding your case, an offer will be made to you to settle your complaint.
What happens if I receive an offer?
Gladstone Brookes will review any offers made to verify that the amount is correct and that you are receiving all of the money payable to you.
Why have the banks upheld extra cases?
The rules governing PPI claims dictate lenders must investigate any agreements associated with the case complained about. Gladstone Brookes cites legislation to hold lenders to this rule. It can result in lenders identifying PPI on “top up loans” that were previously unknown to the client.
What happens if my case is rejected?
If we believe that a rejection is unfounded, we will assess the case at hand to determine if there is reasonable need to refer it to the FOS to appeal it, with the aim of getting the decision overturned
What happens if an appeal can be made?
If we have reviewed the lender’s decision and we believe your case still has merit, we would look to appeal this for you. We are able to directly appeal some cases with some lenders, and others we would look to appeal with the Financial Ombudsman Service. We would discuss this with you at this point, to ensure we can obtain the most accurate information to present your case in the strongest way we possibly could.
Why should I use Gladstone Brookes?
Our FOS uphold rate for getting decisions overturned in 2015 was 73%. Should you decide to use Gladstone Brookes to help you appeal the decision, we will support and guide you through the process. We will liaise between your lender and FOS, dealing with any necessary paperwork, whilst keeping you updated along the way.
Who are the Financial Ombudsman Service (FOS) and what do they do?
FOS is an impartial adjudicator who review cases rejected by lenders to assess if they are unfair and justify being overturned. FOS investigations are free, however due to the amount of complaints they receive they are not bound by any timescales, meaning decisions can take 18 months or more. If they do think the decision is unfair and overturn it, they will request that the lender refunds you the PPI premiums and interest you paid.
Why has my case been sent to the Financial Services Compensation Scheme (FSCS)?
There are occasions where lenders responsible for mis-selling PPI are no longer in business and, as such, cannot be claimed against. The FSCS is a ‘fund of last resort’ – a government body set up to pay compensation where the responsible company has ceased trading. The body only has jurisdiction on sales made after January 14th 2005 and can investigate claims in the same way as a lender would, paying compensation where they find a policy has been mis-sold.
I was told I had a viable claim so why has it been rejected?
We only take cases on if we feel there is a potential case for mis-selling. However, sometimes the information you provide us with will conflict with a lender’s perspective, leading to a rejection. A rejection is not always the last word on a claim though; we will assess these rejections to determine whether or not we feel the case is strong enough to be referred to the FOS to be overturned.
That sounds like a lot of work – how much will it cost me?
If we are confident in your case, we will continue to represent you on a no-win-no-fee† basis. You will only be charged in the event of a successful payout.
What do you class as proof of PPI?
Loan documents showing PPI was added to your agreement, credit card or bank statements showing payments taken for PPI premiums each month. You could also have a final statement letter from your lender showing PPI details.
Why have you chased me for information?
In many instances, lenders may destroy relevant information relating to your claim after six years of the account being inactive, which we may need to ask you for. Additionally, lenders can request further information from you, via us, to assist them in reaching a final decision on your case.