What is PPI?
Payment protection insurance is a cover for people who own a credit card or have a loan in their name. This insurance is an agreement that if you are unable to pay your debts because of illness, unemployment or debt it will be coved by the PPI Company. This insurance cover is to ensure that your debts are paid even if you are not able to cover it.
What are no win no fee PPI claims?
As the name suggests, no win no fee PPI claims is a technique to find out your eligibility to claim for the insurance for any other financial risk on your part. In simple terms, if the PPI company losses your case you do not have to pay them any fees, even if they worked a lot to win it for you.
Every PPI claiming company has its own procedure for the case. The basic case procedure goes on in this manner:-
- First you file a claim with the company.
- Then the company will find out if you have a PPI policy on your name or borrowings.
- In case if you do not have PPI policy on your borrowings, then your claim with the company is over and you pay them nothing in fees.
- In case you do have a PPI policy claim on your borrowings and you believe or doubt that it was mis-sold then the work of the company starts. They will claim a refund from your lender.
- If the company manages to win the refund for your benefit, then they will charge you their prescribed fees of 25% of the refund money with an additional charge of VAT.
- In case the company discovers that your PPI was mis-sold and you do not owe any compensation, you do not have to pay anything to the company.
- In case your case is not pursued for more than 14 days on your request, the company will charge you a definite fee.
When a no win no fee assuring company takes interest in your case, their experience will help them the most difficult case, and also gain your confidence. They can easily evaluate your case. The reason they offer you the benefit of no win no fees is because they are sure about winning the case for you, and if they cannot, they guarantee you that no fees are paid.