Mis-sold Mortgages Payment Protection Insurance

Mis sold Mortgages Payment Protection Insurance is another scam that falls under mis-sold PPI and is quite rampant in mortgage sector. Mortgage Payment Protection Insurance is an insurance product through which your monthly mortgage is paid if you meet with an accident or become sick , due to which you are unable to go for work and earn money and also in the event that you are made redundant at your job( for no fault of yours), your monthly mortgage payments are covered. This cover usually for a few months only and not the whole period you remain out of work.

Though PPI scheme was started for the benefit of the consumer, so that they don’t fall behind in payment of their mortgages during the time they are unable to satisfy these payments themselves, however, in actual practice, it benefits lender more because of there miss-selling tactics.

Mostly such policies are sold to mortgagees without telling them about it. Mis-selling it means selling it people who either don’t need them or weren’t aware of all the facts. It also includes those people you were sold this policy but owing to exclusion clause in the agreement were unable to claim compensation as and when need arose.

You can claim PPI compensation amounting to the money paid by you in mis-sold mortgage PPI within 6 years from the date on which this policy was sold to you which basically means the date on which you took mortgage.