Every PPI claims management company is subject to careful regulation by the Ministry of Justice. Every claim management company is required to abide by strict regulations as to how it carries out its business. Claims companies are not allowed to practice cold calling of potential clients. A number of some PPI Claim Companies have been investigated by the financial ombudsman when their have been complaints that they are not abiding by the regulations.
Never feel pressurized into using a claims company – you should remember that you are not required to employ the services of a claim handler to make your claim. Many PPI providers such as banks and building societies are keen to point out that you claim will not be handled any more diligently by them if you use a claim company. If you do engage a claims handler to make your claim for you, make sure that you understand that their fees are fully explained to you.
Regulation
With effect from 2013, all claims companies representing clients for mis sold PPI have been regulated by the Financial Ombudsman service. The ombudsman is able to fine claim companies for wrongful practices. So you should be able to be happy that your claim will be handled by them correctly.The main advantage in making a ppi compensation claim yourself is that you will get to keep all of the compensation yourself. Remember that no win no fee deals will require you to pay a fee if your case is successful. It just means that there’s no fees if you don’t win your claim! If you are successful the claims handler’s fees are paid out of your compensation. They are not paid in addition top your compensation.
Benefits
However, there are certainly many reasons why making a PPI claim yourself may not be the best option for you. Making a PPI claim yourself requires a fair amount of organisation and paperwork and it can be helpful to have a claims handler who will help you and do some of the legwork for you. Taking on a big financial institution does not have to be daunting – just do everything in a simple methodical way, of the freely available template letters site and keep a copy of everything you send them.
