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Natwest Payment Protection Insurance — The Deadline Approaches
The Financial Conduct Authority, the regulatory body for all issues relating to banks and financial products in the United Kingdom, has officially set a deadline for the ability to make a claim for mis-sold NatWest PPI(Payment Protection Insurance) of the 29th of August 2019. After this date, you will no longer be able to file a claim and receive compensation.
What is PPI?
PPI was a financial insurance product offered by NatWest designed to help you cover repayment amounts in the case of financial misfortune. People were enticed to purchase the product as an add-on to their mortgage, loan, credit card, or other financial product in an effort to protect themselves against sickness, redundancy, accident, or unemployment; the latter often being offered as part of an upgraded plan.
Millions of consumers purchased the protection for the peace of mind that a paying a monthly premium would safeguard them if the worst was to happen and they could no longer afford their repayments.
What is the problem?
In 1993 the first lawsuit regarding PPI was launched. The details of the case surrounded the mis-selling and misrepresentation of PPI, what it covers, and how it works. The case was found in favour of the claimant, however, due to a non-disclosure clause, the details remained confidential for the next 10 years. Around 2003 the non-disclosure agreement expired and details of the ruling began circulating a number of consumer rights groups. This started the PPI claims movement we are familiar with today.
The story doesn’t end there, though. More recently there was a Supreme Court ruling, referred to as the Plevin case, which further extends consumers rights to make a claim. While the original PPI claims case was regarding direct mis-selling of the insurance, the new type of claim hinges on the division of the payments between the premium and the commission.
How does the deadline affect me?
The deadline set by the FCA is the final date after which you will no longer be able to file a new Natwest PPI claim. Any claims filed before the deadline can still be processed, however, so while the deadline is fast approaching there is still time to make a Natwest PPI claim.
The claims process is simple and doesn’t require you to have all the information regarding your policy and payments — although any information you can provide will help to ensure you get the maximum compensation amount as NatWest generally only hold records for up to six years. Furthermore, as a claim under the Plevin ruling is assessed on a different set of criteria than previous claims, it’s possible to make a successful claim even if you have been rejected in the past.
The RBS Group, owners of Natwest, estimate that more than 27% of claims have yet to be filed and expect to pay out another £700 million before August.
Though this figure is a highly contentious one and the actual figure could be much higher possibly double. But with only a few months to go before the deadline, there has never been a more important time to start your Natwest PPI claimand ensure you get the money you are entitled to.