Alliance and Leicester Payment Protection
If you have an Alliance and Leicester payment protection policy you have probably heard about the fine handed to the lender for mis-selling the cover.
The fine was given in 2008 following an extensive investigation by The Financial Services Authority (FSA) into the sale of the cover. Their investigations related to more than two-hundred thousand PPI sales that took place between January 2005 and December 2007. The fine was for a record £7 million and related to telephone sales of the product. The FSA in particular highlighted the fact staff had been trained to recommend policies to customers who had stated they either did not want or did not been them. The regulator also highlighted the fact the lender had encouraged staff to put pressure on customers who queried the inclusion of the optional payment protection cover in their loan quotation.
If you believe you may have been mis-sold an Alliance and Leicester payment protection policy you should think carefully about how your policy was sold to you. If you did not feel you were given adequate information or you were told something that later proved to be inaccurate or incorrect this could be regarded as mis-selling. Your policy may also be considered mis-sold if the full costs were not made clear or you felt pressured into taking up the policy.
An aspect of mis-selling also includes customers being sold cover that was unsuitable for their needs. In the most serious of these cases customers were sold policies they were ineligible to use. You may have been ineligible for Alliance and Leicester payment protection cover if you were over the age of 65 or had a serious pre-existing medical condition. This is because, in insurance terms, you may have been perceived as a higher risk. In other cases customers were sold cover that was simply of limited value to them. This includes customers who were retired or in full time education who had no need for a policy that protected them from loss of employment.
If you were mis-sold an Alliance and Leicester Payment Protection policy you have the right to make a claim for compensation. If your PPI claim is upheld, the compensation you receive will usually depend on the age and size of your policy. Loan PPI usually costs in the region of 13%-25% of the base loan value. On a £5,000 loan this would equate to between £650 and £1,250 spread out over the life of the loan. It is also important to note you can make a claim even if your loan has been paid in full.
In the wake of the FSA’s investigation, many people have already submitted claims for payment protection refunds from Alliance and Leicester. If you are interested in joining them you can speak to our claims team today on 0207 471 2000. We are an independent claims company who work on a No Win No Fee basis.* We have already assisted more than 60,000 customers to make claims.
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