PPI Claims Information
£24.5bn is the amount of money reclaimed across the entire PPI industry in mis-sold PPI claims.
In 2015, the FCA reports average payouts per month at just over £370 million, with highs of £424.5 million in January and £410.3 million in April.
What is PPI, and why do I keep hearing about it?
Payment Protection Insurance is a type of cover intended to protect loaners’ repayments should their income be affected by accident, sickness or unemployment.
What should have been a precautionary option however, was grossly mis-sold on an industrial scale to people who didn’t ask for, want or need it. Many who bought PPI would not have even been eligible to claim against it.
The PPI scandal is the biggest in UK financial history, with millions reclaiming on what they were mis-sold.
Industrial scale mis-selling
Exactly how was PPI mis-sold? Here are some examples:
- Added to finance agreements without consumer knowledge or consent
- Sellers disguised the PPI extra as a part of the packages they sold – buyers thought it was actually mandatory, rather than an option
- Sold to customers already covered by another policy, like full sick pay from an employer, making it an unnecessary cost
- Overall repayment information didn’t stipulate the addition of PPI as an extra premium, hiding the cost as part of the main body of debt
- Students, unemployed or retired people were all mis-sold to, as PPI doesn’t pay out for these groups
- Exclusion clauses weren’t disclosed, meaning pre-existing medical conditions present upon buying PPI that would void any payout were disregarded
Exposing the banks
In 2005 a ‘super complaint’ by Citizens Advice to the Office of Fair Trading (OFT) followed a report they published which condemned PPI as a ‘protection racket’.
The Financial Services Authority (FSA) took action. In a mystery shopping exercise, they uncovered layers of poor selling practices and lack of compliance which led to the mis-selling.
As the FSA dug deeper into the exploitative actions, they began fining companies increasingly large amounts, with Santander fined £7 million for mis-selling.
The number of complaints continued to rise and, in 2010, the FSA issued a consultation paper outlining how complaint handling could improve.
The banks fought the recommendations in the High Court, however after their objections were overturned the resulting publicity only opened the floodgates for a deluge of new claims.
In May 2011, PPI claimants received £39.8 million. By May 2012, that figure had rocketed up to £735.3 million for a single month.
Positive track record
Since its inception, Gladstone Brookes has reclaimed more than £700m for our clients who were mis-sold PPI. All without cold calling.
Our knowledgeable, experienced team have helped us reach a 93% success rate for claims where PPI is attached to an agreement. As a result of helping our clients reclaim money which is rightfully theirs, 95%* rated our service as good or excellent.
Making a claim
Think you could be one of millions mis-sold PPI and yet to claim? Read what our clients are saying about us
and, once you’re ready, you can start the process by calling our PPI claims team on
or by filling in the PPI form
on our website.
Start My PPI Claim