PPI Claim Company Logo
Claim Back Loan Insurance

Paying Payment Protection Insurance

Since we have been hearing so much about payment protection insurance of late, many people in the UK may not be aware of the fact that this is just another name for loan insurance. It doesn't matter what you call it however because the thing that has most people concerned is the high cost of paying payment protection insurance. As a matter of fact, payment protection insurance can cost anywhere from 13% to 56% of the amount of your loan and that amount is often added as a onetime premium to your loan when you close on it.

Adding Insult to Injury

It may be an old cliche but sometimes paying payment protection insurance on top of the high cost of a loan can feel like insult is being added to injury, especially if you didn't even know that you were buying loan insurance! Sadly, in some cases, PPI was added to customer's loans without their knowledge. Other cases customers were falsely given the impression being given the loan was contingent upon paying payment protection insurance. In these instances the PPI cover may be considered mis sold and the customer may have grounds for filing a claim for a refund.

Can You Stop Paying Payment Protection Insurance That was Mis Sold?

If you have found that you are paying payment protection insurance that you never wanted, unfortunately you can't just stop paying for it! The problem with trying to do that is that you may default on your loan. Look at it this way. The premium for the entire loan protection insurance cover is often added to the total amount you are borrowing. After that amount is added payments are amortised over a certain number of months and you will, in effect, be paying payment protection insurance right along with your loan payments for the duration. There can be two inherent problems with this as we see it. First of all you may be paying interest on money that you didn't ask to borrow. Secondly, if at some point you realise that you were mis sold PPI you can't just stop paying in it.

What you can do about paying mis-sold payment protection insurance is to file a claim against the lender. If you do file a claim, it is important to remember you would need to continue making loan payments in the duration. To start your claim for mis-selling today complete our quick claim form. Any questions? Call our claims team on 0207 471 2000


Tell a Friend
blog comments powered by Disqus

Quick Claim

First Name 
Last Name 
Mobile Phone
Home Phone
Address Line 1 
Town
County
Post Code 
Email
Circumstances
Claim Back Mis-Sold PPI Button

Why Choose Us?

  • TickAbsolutely No Upfront Costs. No Win No Fee*
  • TickSpecialist Claims Team Always On Hand To Answer Your Questions
  • TickQuick, Easy And Simple Process
  • TickU.K. Based Call Center
  • TickGuaranteed To Start Your Claim In 24 Hours

24/05/2012

Bank charges masked by free banking "myth"

Many bank customers mistakenly believe their account is free, but costs are being masked by high bank charges.This is ac...

23/05/2012

Loan charges: OFT orders Wonga to change debt collection practices

The Office of Fair Trading has ordered payday loan provider Wonga to change its debt collection practices.It conducted a...

22/05/2012

Rise in PPI claims to FOS 'shows lenders need to improve dealings with public'

The rising number of complaints issued to the Financial Ombudsman Service (FOS) relating to payment protection insurance...

22/05/2012

Loan claims: 93% of Brits call for payday lender regulation

Brits have very little tolerance for payday loan charges, a survey has found.The poll, by insolvency trade organisation ...

22/05/2012

Bank refunds: Poor families 'have higher CPI inflation than rich'

Many families could be finding it a struggle to pay for loan charges or meet bank claims, with the Trades Union Congress...

Belmont Thornton Ltd. is regulated by the Ministry of Justice in respect of regulated claims management activities; our registration is recorded on the website www.claimsregulation.gov.uk number 18273

Belmont Thornton Ltd. is incorporated in England and Wales, Company number 6621233, whose head office and registered office is at Suite 2, Unit 25, The Coda Centre, Munster Road, London, SW6 6AW. VAT Registration number 945 3375 06.

Belmont Thornton Ltd is registered with the Information Commissioners Office to ensure compliance with the Data Protection Act 1998 registration number Z1728023 and holds a Credit Consumer License issued by the Office of Fair Trading license number 634655.

Please note that calls may be recorded and email traffic monitored for the purposes of security and staff training.

* Belmont Thornton operates on a "No Win No Fee" basis. This means that there are no upfront costs to pay. Our fee only becomes payable on a successful outcome of a claim. A cancellation fee is payable if you decide that having instructed Belmont Thornton to act on your behalf, and after 14 days of signing your Letter of Authority, you do not wish to continue pursuing your claim with us. The cancellation fee is the reasonable costs incurred for the work undertaken. Please see our terms of engagement.