Loan Protection Time
If borrowers were not required to submit monthly loan repayments by a certain date in order to avoid penalties or default it would not be so important to receive repayment assistance in a timely manner from a PPI policy. Payment protection insurance (PPI), also known as loan protection insurance, is supposed to provide cover in the event that a policyholder is unable to make repayments towards their mortgage, credit card, or loan. However, not only are a small percentage of policy claims honoured by payment protection insurance companies, it also usually takes many weeks for benefits to be given to a small percentage of policyholders.
Loan Protection Time Constraints
If you were mis-sold payment protection insurance by a private broker or lender then you may want to reclaim PPI as quickly as possible, in order to prevent the possibility of being left without reimbursement in the event that the lender goes out of business. Other than this precaution, there are no regulations that require a borrower to file a PPI claim within a certain period of time after taking out the loan. However, given the fact that most of the scrutiny towards PPI has taken place during the past six years, some analysts believe that borrowers that have a mis sold PPI policy that is less than six years old have the highest chances of receiving a full refund.
Loan Protection Claim Time Requirements
According to regulations issued by the Financial Services Authority (FSA) a financial institution or lender has approximately 8 weeks to review the claims filed against them related to mis-sold PPI before legal action is taken. Although it would be best to file a claim to receive a refund for mis-sold PPI as soon as possible, there is no formal statue of limitations in place to protect lenders. In other words, even if the PPI policy was taken out five years ago it may still be possible to receive reimbursement for PPI payments. In fact, with the help of a professional PPI claim, like Belmont Thornton most consumers are able to receive cooperation in the form of full reimbursement from their lenders. In most cases, it is more feasible that you'll succeed in recovering PPI payments from the bank within a shorter time period than it would take to directly file a claim with the lender that provided the mis-sold PPI policy.
Loan Protection Time Statistics
While the majority of PPI claims are honoured within one month, the claims process can range anywhere from two weeks to eight weeks. As various financial authorities in the UK have begun recognising payment protection insurance mis-selling as a common problem, reclaiming payment protection has become less of a challenge. Mis sold payment protection policies that were paid for by the creditor with a single premium have the highest reclaim rates. Reports published by a prominent financial authority found that a mere five percent of the PPI policies evaluated were sold properly, with the remaining ninety-five percent considered to be mis-sold because of deceitful persuasion and misrepresentation. Given the influx of honoured PPI refunds during the last six years because of heightened exposure by various financial authorities, all of our clients have an excellent chance of receiving full compensation during 2011.
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