What is PPI – Payment Protection Insurance
An introduction to Payment Protection Insurance
In the UK Payment protection insurance or PPI is offered to cover payback debt repayments in the following unlikely situations:
- That the person borrowing the money loses his or her job o
- That the person borrowing the money is unable to work due to illness or accident.
- That the person borrowing the money is unable to work due to having an accident.
Payment protection policies or PPI usually make provisions for the insurance company to pay out after the following times:
- After a deferred period of either one month and then pay out for up to 12 months if you are unable to work.
- After three months and then pay out for up to 12 months if you are unable to work.
- After six months and then pay out for up to 12 months if you are unable to work.
When taking out a loan or credit card you may be given the option of buying PPI. It could even be rolled up into your loan without your knowledge, increasing your monthly repayments. Be sure to check with your loan provider.
Is PPI compulsory?
No PPI is not compulsory and although it is offered by most lenders it is expensive and you are entitled to refuse it.
Beware of a loan company offering you a fully protected loan and not explaining it in full
Loan and credit card providers are wrong to include it in your quote for a fully protected loan without telling you it includes PPI.
Do you even need PPI?
This all depends on what savings or back up plans a borrower has. Couples living together often do not bother with PPI due to having two incomes income couple the risk is also reduced.
Check your employment contract. As your redudancny package may include PPI
Check what cover your employer offer in the event of redundancy or illness.
Frequently asked questions regarding missold PPI Insurance
- PPI Reclaiming Information Centre
- What is PPI - Payment Protection Insurance?
- Have you been missold PPI – Payment Protection Insurance?
- PPI reclaiming explained
- Why is PPI so often missold?
- Check to see if you have been missold PPI – Payment Protection Insurance
- How to reclaim missold PPI – Payment Protection Insurance?
- How much money can I reclaim from a missold PPI claim?
- Get your money back on missold PPI insurance
- Could you have been missold PPI and not even know about it?
- The PPI Industry explained
- Have you been a victim of PPI misselling?
- Can you change PPI provider?
- How to reclaim PPI
- How many years can you back to claim PPI?
- Complaining about missold PPI
- PPI and the Financial Ombudsman Service – FOS
- Financial Ombudsman Service – FOS – Complaint forms
- PPI Claims handling firms
- PPI Claims handling lawyers and solicitors
- PPI claims court process
- PPI claim back
- Mortgage PPI reclaim
- No Win No Fee PPI claims
- PPI refund
- Reclaim PPI
- Reclaiming PPI
- PPI claims
- Mis-Sold PPI
- Reclaim PPI Charges
- Payment Protection Insurance refund
- Claim back PPI
- PPI compensation
- PPI mis-selling
- Reclaim PPI insurance
- How to reclaim PPI
- Fees and Terms of PPI reclaim service of UK Finance Online Limited
IVA's
The IVA Guide
Money Advice Direct has put together an IVA Guide based on the enquiries and questions that we receive at our helpline offices.
In the guide we cover such subjects as IVA Approval, early settlment of your IVA, missed IVA payments, IVA failure, additional debt claims and much more.
[click here for IVA Guide]
What is an IVA?
The IVA is an extremely powerful tool enabling you to clear your debt and return to a clean financial bill of health. Visit Money Advice Direct's Guide to Individual Voluntary Arrangements (IVAs).
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DANGER
Due to the tremendous demand for debt consolidation services the United Kingdom is now overloaded with debt management companies that contain misleading information. [more...]