There have been several cases of PPI being mis-sold to the customers. However, customers started claiming back their money as soon as they realised that they have been cheated. Usually, the first party they approach is the lender of the policy or the financial institution. They explain their case to them and expect a solution as soon as possible. However, if there a dissatisfactory response, or no response at all, they go to the ultimate authority responsible for settling this issue – Financial Ombudsman Service.
The Financial Ombudsman Service (FOS) is an independent body which deals with the disputes between the PPI policy holder and the financial institution, the lender or the bank. It is the last financial resort a buyer can approach for reliable guidance and support. However, if you were mis-sold PPI and can’t get satisfactory help from your lender, you need to follow a procedure to approach the Ombudsman. Also, the Ombudsman follows a set procedure to take care of your complaints.
However, it is important to keep in mind that you can approach the Ombudsman only if you have initially gone through your financial institution. Also, you cannot go to the Ombudsman if you have already approached the court for your problem.
Following is the very basic procedure which is to be followed if you want your issue to be solved by the Ombudsman:
- Review Of Evidence – Firstly, the Ombudsman will review all the evidence that proves that you had been mis-sold a PPI policy. These may involve your policy papers, proofs of your loan or credit being sanctioned etc. The department also approaches the lender who sold the policy to you. Only after looking into the matter in the most objective way, the Ombudsman moves ahead with the procedure.
- Filling The Complaint Form – You will also need to fill out an online complaint form which is available on the site of the Ombudsman. You can also call up the Ombudsman office and talk to the experts there regarding any doubts or confusions that you may have.
- Send Relevant Documents – You then need to send the documents that you were given at the time of purchasing the policy (or if you were secretly sold it). You need to produce all the relevant documents which support the claim you’re making and can help the organisation to ascertain and confirm the amount of compensation you deserve. Also, you’re required to send them your bank statements in case you have been involved with your bank in the issue you have reported.
- Final Decision – Finally, after checking all the evidence and documents, the Ombudsman makes a final decision. It tries to comprehensively understand both you and your lender’s point of view, and then makes a rational decision. The Ombudsman’s word is final. If it feels that the policy was really mis-sold, the lender has to compensate for the same, along with the help of your bank. However, if it feels that the policy was not mis-sold or the issue was not in your favour, there will be no action taken against the lender who you reported to the Ombudsman for the mis-selling of a PPI policy.
Hence, the Ombudsman is the ultimate financial authority which helps you solve your issue with your policy provider and/or your bank. However, it is not mandatory for you to adhere to the Ombudsman’s decisions. If you still feel that your case is genuine and the Ombudsman hasn’t rolled out a fair verdict, you can approach the court for a redress.