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Personal Loan Protection Plan

No matter what you do in life it is always a good idea to have a backup plan and this includes your finances. So many times you hear it said that you should save for a rainy day but sometimes there are so many rainy days that there just isn't enough money to put away for them. This is why lenders find it so easy to sell consumers on the idea of personal loan protection plans. We may not be able to save enough money to cover all of our bills if we should suddenly find ourselves out of a job but we can certain money buy a personal loan protection plan that will make payment in the event that we are without work or too sick to work. It sounds like a good plan and in a perfect world it would be a good plan however nothing in this world is ever perfect.

When Personal Loan Protection Plans Let You Down

One of the things your lender probably didn't tell you is that there are a lot of exclusions on any payment protection plan. These exclusions can render a policy useless if the policyholder falls within the category of any of those exclusions. A good example of this is when it person is still working at the age of 66 or 67 and concerned about whether or not they will be able to continue making payments. If that person should suddenly be made involuntarily unemployed you would expect the personal loan protection plan to kick in and make payments until the policyholder either found another job or at least another source of income. Unfortunately, in many cases, personal loan protection plans do not cover people aged 65 or over. This is why so many payment protection claims are being filed against mis sold PPI. This leaves the question, what can we do when our personal loan protection plan lets us down?

Filing a PPI Claim against Personal Loan Protection Plans

The only recourse you would have if the lender mis sold a personal loan protection plan to you is to file a claim against the lender. You would be filing for a refund on any money paid into payment protection in the lender is bound by law to review that claim. The claim does not go to the insurance company, it goes directly to the lender who sold protection plan to you. Of course the lender may deny your claim but if your rounds are secure and you can verify that you were mis sold payment protection it may get passed on the first review. If not you can always appeal to have the claim reviewed by the Financial Ombudsman Service or you can simply throw in the towel which is not advisable. A claims company can help you file your claim whilst documenting the reasons why your personal loan protection plan was sold to you under misleading circumstances which is grounds for a PPI claim. You can talk to a specialist today on 0207 471 2000


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