05/04/2018 In the last year, Resolver has seen a massive 265% increase in complaints about PPI to 555,341 cases from 152,140 the previous year – 900,000 in total. Yet our inboxes are increasingly full of horror stories and misinformation from claims management companies.
The introduction of the FCA’s deadline for making a PPI complaint has spurred a desperate rush for the remaining PPI claims yet to be made. And it’s a considerable market, with up to 64 million PPI policies out there.
Examples of some of the poor service we’ve seen include:
- Threats and debt collectors. Many people have told us they gave up on their claims manager and got a PPI refund by themselves. Despite this, the firms have demanded their cut of compensation regardless and called in debt collectors in some instances.
- Misleading mailshots. Firms like the Consumer Refund Service Limited are mass mailing people with official looking documents and misleading content suggestion refunds of £3,175 are assured.
- Scam cold callers. Some fake businesses are conning people by telling them they have a high-value refund but have to pay the tax upfront to get it.
- Fake news. Increasing numbers of people are telling us that they thought they were signing up with responsible PPI reclaims companies due to firms claiming falsely they were endorsed by celebrities.
Last year the Claims Manager Regulator withdrew licenses of 69 claims managers, issued fines of £1.1 million and issued nearly 200 warnings. Yet too many of these compensation vultures are circling around compensation that people can claim for free.
To put things in perspective, MoneySavingExpert confirmed earlier this year that a couple won a £153,000 refund on mis-sold PPI policies after using MSE’s tool – which uses Resolver’s technology – to reclaim on 11 credit cards. Had they used a claims manager, they could have lost up to £60,000.
James Walker, founder of Resolver says:
It’s so easy to make a PPI complaint. So why throw your compensation away by using a claims manager? We’re actively working with banks and credit providers to help people find their old policies and make simple and effective complaints that get you an answer once and for all about what you’re entitled to. If you use a claims manager, you’re getting ripped off twice.