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Claims Management Companies are taking the PPI

Hand pouring money into another hand

Claims Management Companies will be delighted by today’s news that banks won’t be appealing the PPI ruling. But since you could easily claim the money back yourself, is it worth using them at all?

A quick recap: consumers who were mis-sold Payment Protection Insurance (PPI) can now, after a long court case, get their money back.

Not only that, but the banks have been ordered to contact affected customers to tell them they might have been mis-sold.

Are Claims Management Companies necessary?

This is great news for consumers – individual PPI refunds could easily run into the thousands of pounds.

It’s also good news for Claims Management Companies (CMCs), who offer to ‘handle’ your claim for you – they do all the leg work, and you pick up a cheque (minus their fee, of course). Today’s announcement that the banks won’t be appealing the court judgement means these companies will be ramping up their marketing, ready to cash in on the news.

But is it really so hard to get your money back? Well, no. Anyone who’s ever written a strongly-worded letter can put in their own PPI claim without using a CMC.

You simply complain to your bank, wait for their response, then complain to the Financial Ombudsman Service (FOS) if you’re not happy with their response, or if you don’t get one in the stated time. Which? has even developed a handy PPI tool to help you craft the first letter.

Should I claim back my PPI?

Sean Scullion, who now works at Which?, was mis-sold thousands of pounds’ worth of PPI in 2005. The insurance, he was told, would protect him if he lost his job.

Unfortunately for Sean, he was a contractor and therefore excluded from the cover, a fact which the salesman neglected to tell him at the time. So when he was unemployed for three months he discovered that the thousands of pounds he’d spent in PPI didn’t entitle him to any help.

Although Sean felt helpless at the time, he’s now been able to put in a claim to get all of his PPI back – without using a CMC. Because he hasn’t used one, he’ll be able to keep all the money the bank pays back, without having to give a large cut to another company.

DIY financial complaints

One of my favourite things about the internet (leaving Twitter to one side, of course) is the sheer amount of help available on really complex subjects. Using just the power of Google I’ve learnt to build websites from scratch, make the best banana bread in the world, prep coaxial cable and even refer a dodgy estate agent to the Ombudsman.

And finance is no different. All the info you need to make a PPI complaint is online, so luckily PPI is no longer a tricky issue, so it does look like Claims Management Companies are a bit redundant.

But perhaps I’m wrong – are you keen on a bit of finance or complaint DIY? Or do you think it’s worth paying for someone else to do it while you put your feet up?


I have an old Experian credit report. It shows that I had 5 loans from Welcome Finance from 1999 to 2003. I have managed to get the account numbers for all 5 accounts, but Welcome were only able to give me insurance policy numbers for the 2 later loans post-2000.
Is there any way I can find out who insured the loans for the other 3 pre-2000 loans? Is it worth going to the FOS if neither Aviva nor Welcome will take responsibility for the PPI on the 3 pre-2000 loans?

Jodie says:
27 December 2014

I took had a joint loan with my ex husband for £19,000 for home improvement works and we shared the first payment then decided that as I had the Direct debit set up he wasn’t going to help me pay as he had bigger fish to fry, and we eventually got divorced in 1998. He left me to pay each month and I struggled to pay by Direct debit until our divorce when the court ordered the house to be sold to pay off all the household debts and the full amount was paid off from the proceeds. 15 years later I put in a PPI claim with HFC bank who gave me the run around and wanted ALL the bank statements some which I still had which proved I was paying off the loan without my ex-husbands help, now FOS has had this claim for 2 years now and have not managed to sort out the PPI claim even though they have a copy of the original agreement showing PPI on it and all other correspondence showing I virtually paid off the loan and correspondence to and from my solicitor at that time showing I paid off the loan from the proceeds of the home and also they are asking for a legal document from the court showing it was a joint loan which I don’t have. I explained that as my ex husband did not contribute he should not be entitled to any PPI which may be awarded as he didn’t pay his share off the repayments and would not have any documents to prove he contributed and has not had the audacity to put in any claim as far as I know. What do I do to convince FOS that I paid that loan and made the PPI claim so ex husband should not and is not entitled to any refund due.

Steve S. says:
23 April 2015

I wonder can somebody advise ?
I know for a fact that I was mis-sold several pension plans, my problem is that this happened over 20yrs ago. I enquired in my bank (Nat West) how far back I could view my statements and was told 7yrs was the limit.
So my problem is, am I entitled to compensation considering the time, and secondly how on earth do I start ?
Any advise would be greatly appreciated.

angie says:
27 May 2015

I put a claim in for ppi well over 6 months ago. Problem is I can’t remember who with and I haven’t heard anything since christmas. I’m sure it was an advert off the tv that I used. Is this time span normal? And can i find out anywhere who it was with?

Mo. says:
23 July 2015

Wrote a letter to Capital one revPPI .insurance.I remember that I wrote to them to have it cancelled.they wrote back saying I did not have any taken out with them.they wrote that if we wanted any Back Dating statements we would have to pay 15£ for them,which we did.having received them back it shows my letter of cancellation on 19th October,2001 requesting this.as well I cancelled my Recovery Cash Plan ,which I cannot remember ever had taken out.Capital One States they are unable to cancel this as it is offered in partnership With Aon Corporation.It is combined with CICA,(Combined INSURANCE COMPANY OF AMERICA),although Aon and CICA work as their Business partners.,but they are totally independent of Capital One.I do not understand this at all.Can I write to CICA for any monies paid to them.thank you.

I had few loans. with first direct in 1990 have no paper work could I still claim

I was told I needed to take out PPI on my abbey national loan back in the mid 90’s for 5 years. Now they say there is no record and nothing I can do. Is this correct?

Penny says:
25 February 2016

They did the same with me and luckily I had the bank statements. If you don’t have the info to hand, you can ask your bank for a copy of a statement during the time you had the mortgage/insurance.

Penny says:
25 February 2016

Hi there, I had a mortgage with N&P in 1991. At the time I was a single woman and was told I couldn’t have the mortgage unless I took out their PPI insurance. The policy was with Cornhill. I have the bank statements showing the mortgage payments and the insurance payments. Do I claim from Santander or Cornhill? It was difinitely sold to me by N&P in the building society in Ealing Broadway.

Hi Penny, you should complain first to the bank which sold the policy, so Santander in this case. If you need to take this further, you can then lodge a complaint with the company underwriting the policy (Cornhill). Hope this helps

Ive bought a car from yes car credit (dafs) in 2001,when they were not regulated by anybody. During the process of purchase i was mis sold PPI, i have attempted to claim this back, as they were not regulated you get the standard response, know you have no governing body to support you. I have obtained the contact details of the CEO for Provident financial and emailed them in the hope of a more positive response, however to no avail. My last stage is to progress through the courts (MCOL) however I’m unsure if this is possible. Can anybody confirm the legal stance, can you utilise MCOL for reclaiming PPI.
Many thank in advance

Isabel says:
8 June 2017

Ahhh I’m glad it’s not just me struggling with this! I really need people’s advice here as I’m totally lost! Basically my husband has only recently found out that he was mis-sold endowment some years ago, and we want to claim it back. I don’t know if any of you will be able to help me but I thought I might as well ask on the off chance! So I wondering (as stupid a question as this may sound) – how exactly are we supposed to go about making a claim? I’ve read lots of conflicting advice on the subject and it’s really thrown both myself and my husband. Are we better making the claims ourselves or going through a company? I was reading an article about a business called EMCAS has anyone heard of them? Would they be the type of company we should go through? We’re really at sea here so any advice anyone could offer us would be fantastic

Jonathan says:
24 September 2017

I was sold PPI by a bank many, many years ago. However, I can’t remember WHEN or the circumstances around its purchase. Who are the best people to contact to get repayment with minimum charges/costs? Thank you.

Supposing I make a claim for PPI through another company. What I am worried about is that the company can easily tell you that you are not entitled to a refund, and then claim and keep the money for themselves, without you knowing.

Hi Harry, we don’t have any advise on this but we would generally advise you avoid claims management companies. You can put in a claims request yourself, which means you’ll receive 100% of the money owed to you. Have a look at our consumer rights section to see our PPI advice, and we you can use our PPI claim tool which is 100% free to use.

I felt that I may have had a PPI Claim against an old credit card I once had, but was not sure which bank I should contact. I used the Which PPI Claim Tool and selected 3 banks to contact. Two banks replied to say they had no records and the third sent me their own claim form. Filled out the form to best of my knowledge last month and this week received a large settlement . Many thanks Which.

john Cuthbertson says:
17 June 2019

Is i too young 24 ) to claim ppi , iv finance on car and cards , so why is i being discriminated against my age , thanks in advance

You are not too young to claim Payment Protection Insurance compensation if you were miss-sold such cover in respect of any finance agreements you have entered into.

If you have claimed compensation and it has been denied you are entitled to be given an explanation for the decision. If your circumstances mean that you are not eligible for compensation they must confirm that, however if they did provide and charge you for PPI but they cannot be sure whether or not they acted correctly by undertaking a proper fact-find of your circumstances it will be presumed that you are eligible for compensation.

It is better to approach the bank or finance provider direct rather than through a claims management company that will charge you a percentage on any refund, whereas any refund from the finance provider will be paid to you in full.

Sadly, my husband is now dead. We were joint users at Nat West and following his death, I personally made a claim and received a payout.
I subsequently found many Bank Cards, including an American Express one. Is it worth my while submitting a further claim?

Yes. You can claim for a deceased person.

Really sorry to hear of your husband’s passing, Anne-Marie.

Thank you.
However, when I’ve looked at the online PPI companies’ forms, they ask me to put a true signature in a box. Obviously, I cant sign for my husband, so should I complete any forms in my own name?

Thank you.