Who regulates the PPI Claims Market
With more and more bad publicity surrounding Claims Management Companies that operate in the ppi claims sell it off is only a matter of time before people learn to complain about the fees they’ve been charged for the service.
Many organisations such as the Financial Ombudsman, FSA and may other reputable news happen to be reporting how much claims management companies is likely to make in the next year which will no doubt lead to complaints.
Where do people go to make their complaints when they feel they have been over charged and what can you do about it?
If you feel you are over charged since you paid 25% or more then your first place you need to complain to is the company that charged you the amount in the first place. There is a duty to deal with your complaint and respond on time if you are not satisfied with their outcome them you will find the right to complain to the regulator.
The Ministry Of Justice is responsible for the regulation for claims management companies that operate in the ppi claims market and if the bad publicity continues I can see them being at a loss for the amount of complaints they are going to receive.
The unfortunate thing for consumers is that the Ministry of Justice are only able to make recommendations for the claims companies but cannot force then to cover compensation to consumers although they do have the powers to review their licence.
The other thing that consumers need to be aware of is that claims management companies don’t require professional indemnity insurance therefore they stop trading chances are they have absolutely no possibility of getting any form of compensation for being overcharged for the service provided.
So if you feel you have been overcharged I would suggest you receive your claim in today before these companies disappear or cease trading as if that happens you will have to accept the number you have paid them as final.
What we should would say to all consumers is there is an “unfair term” that could be applied to the contract as a reason for law and we would encourage anybody that has paid 25% or more to consider this option.
Any organization that charges an unreasonable amount runs the potential risk of having an unfair term in their contract and in my estimation having processed hundreds of missold ppi claims any longer than 15% is an unreasonable amount based on the work involved in a ppi case.
Charging fees for ppi cases isn’t any different to a solicitor, financial advisor or accountant charging their fees for the work they undertake for you and all their fees have to be accountable in hourly rates, why should the claims market be any different?
If a company bills you ?100 per hour then they have to justify that rate without having to be unreasonable and this is how the unreasonable test could be examined by a court.
Don’t tolerate being overcharged by these companies that want to ask you for 25% and above do something now and ask for reimbursement down to 15% or submit a complaint in their mind and the Ministry of Justice saying you have been overcharged for the service you received.
Don’t think about it if you have paid an excessive amount of for your ppi statements to be dealt with get your complaint in today.
For more information on ppi claims visit ppi claims
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