How to Claim Credit Card Insurance
Even though great strides are being taken to eliminate the mis-sold payment protection insurance problem in the UK, one segment of the lending industry that has seen an increase in the number of mis sold payment protection claims has been the credit card industry. Even though many consumers recognize the need to claim mis-sold PPI they don't really understand how to claim credit card insurance.
Reasons Why Mis-Sold Credit Card PPI so Prevalent
There appears to be two very good reasons for the multitude of mis-sold PPI policies on credit cards. First of all, many consumers are so excited at the prospect of qualifying for credit card that they are willing to do or buy just about anything in order to get that credit card, which even includes costly PPI cover. However, since payment insurance for credit cards is assessed in a large one-time premium is more difficult to detect each and every month on your credit card statement. Even so, once consumers realize that they have been mis-sold PPI the first thing they seek to do is learn how to claim credit card insurance back.
Citizens Advice Bureau on Revolving Lines of Credit
According to the Citizens Advice Bureau, CAB, there needs to be some clear way of evaluating the actual cost of payment protection insurance on revolving lines of credit agreements. It is thought that once consumers understand the high cost of PPI on credit cards they will start asking how to claim credit card insurance back. Unfortunately, at the moment, there is a great level of uncertainty when it comes to exactly how much payment protection insurance is costing the cardholder and probably why more people are not questioning how to claim credit card insurance back. What appears to be a minimal amount when seen in terms of monthly percentages, the APR is significantly higher. Therefore, what looks to the consumer to be costing three quarters of 1% (.75%) on a monthly repayment statement could actually work out to 9% APR. You can see for yourself the wide divergence between less than 1% and almost 10%. When consumers see just how much they are really paying for PPI on credit cards they start asking how to claim credit card insurance back.
Qualifying for a PPI Refund
Of course when you are looking at how to claim credit card insurance back the first thing you probably want to do is figure out whether or not you were mis sold PPI. There are a few simple questions you can ask yourself if you're trying to do this.
- Did you know the credit card company was going to be adding payment protection to your revolving line of credit?
- Were you told that payment protection insurance was mandatory in order to qualify for credit?
- Did the lender explain the conditions and exclusions of the PPI policy?
- Were you over the age of 65 when they sold you PPI?
- Were you advised how much this cover would cost?
These are just a few of the questions you can ask yourself to determine whether or not you have been mis-sold payment protection insurance and if you can answer yes to any one of those questions you should then begin to learn how to claim credit card insurance back. Belmont Thornton can help you file a claim for mis-sold PPI. Simply call 0207 471 2000 to speak with a member of the claims team in to get started today on the fast track to filing a claim on mis-sold PPI.
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