PPI is the most costly mistake in Insurance industry
Banking establishments and other financial institutions are gearing up for the PPI reclaim storm heading their way. Banks are busy developing contingency plans and have disclosed that the costs of compensating their customers and the administrative tasks involved could be as high as £5billion. If only they could have foreseen it.
Industry sources and financial statistics indicate that online PPI claims have gone up by over 50% in recent weeks. If you too want to make a claim, it is advisable to do so as soon as possible owing to the dramatic increase in PPI reclaim applications. To know more about the procedure of reclaiming your premium amount visit
PPI, which was supposed to ensure payment protection, could very well be the biggest payment the industry has to make. As it was sold along the actual credit service even without the knowledge of the customers and rarely paid out, has turned out to be one of the costliest mistakes for the financial sector that paid £13billion in settlements for pension mis-selling and another £2.7billion for the endowment scandal. The FSA earlier estimates indicated a total cost of £4.5billion; however financial analysts now predict the bill to easily reach £9billion.
In 2013 the financial services conducted a recruitment drive to increase its number of advisors for handling the ever increasing backlog of cases related to PPI claims. And they are not the only organization, recruiting people to clear up the PPI mess. The big banking corporations are planning to hire more than 6,000 workers just to handle complaints of millions of consumers mis-sold PPI.
These banks are also claimed to be looking for temporary places for their workforce to contact customers waiting for payouts, as banks have decided to ignore legal options and go straight to the negotiating tables, owing to the FSA directive that banks compensate mis-sold PPI consumers. To start your claim, visit ppiclaimsfacility.co.uk.
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