Many borrowers took out private protection insurance or PPI when they were taking their mortgage from building societies and banks. The PPI was at face value a fairly well meaning package that insured the repayment of loans in case the borrower dies, loses their income or is incapacitated. But the execution of the program had been rife with lots of malpractices which led to mis-selling of the PPI. After a protracted court case, the British Banker’s Association agreed to set up a fund to cater for the millions of the claims that were expected to be filed by borrowers. The funds allocated for this exercise is £12 billion although some estimates put it as high as £25 billion. The claims process is expected to proceed up to sometime in 2014 although no clear deadline has been set.
How can you know about your PPI Mortgage Claims?
If you have an unclaimed mortgage PPI, you can initiate the claims process by downloading PPI claims and complaints sample letters from the Ombudsman’s website. You then need to accurately fill in these documents and attach any required supporting documentation. Some people took mortgages as far back as the 2000 and may not be able to claim all the way back because there is a limitation period of 6 years from the day you discovered that you were mis-sold a PPI scheme. So if you are claiming in 2013, you can go all the way back to 2007 and compile you PPI payments and accrued interest which is capped at 8%.
It is important to attach all these documentation if you still have them to make the approval of your compensation claim more seamless. Once you have made the PPI compensation claims submission, you can wait for the bank or building society to respond to your application. The bank will respond through letter informing whether they are accepting or upholding your claim. There is always the route of following up with the Financial Ombudsman Service where you feel your mis-sold mortgage claims has not been handled properly.
Mis-sold mortgage claims process
If you believe you have a solid case for compensation with regards to your mis-sold mortgage, you can proceed to the FOS with your application. Please note that many financial institutions will initially reject your application even in cases where you might have genuine case for compensation so it helps to follow up on the issue using the FOS channels. An appeal process is also available where an Ombudsman can hear your case where you feel your case handler has overlooked some details when dismissing your case.
Using your PPI to clear your mortgage payments
Where it has been proven that you have a genuine PPI compensation claim, it is advisable to plough the PPI payments into your mortgage payments instead of splurging it on your shopping. Many banks and building societies will agree to such arrangements, although you need to watch out for pre-payment penalties in your mortgage payment plan.
It is an undeniable fact that most banks in the UK have stained reputations due to instances where they charge fees higher than those set by the Financial Services Authority, otherwise known as FSA.
From the simplest of loans to the most complex financial services, these banks create more problems for borrowers in that they charge higher interest rates or higher fees instead of lowering them to help them. This comes as a huge blow on the borrower’s part because they are blind to such charges.
One instance of this was directly blamed on technical issues. To some extent, this is true as some of the banks have evidently shown some technical issues that result to blunder. However, this does not conclude that all other financial institutions also experience technical glitches when they accidentally – or even deliberately – overcharge their financial services. It follows that the borrowers become victims instead of becoming clients.
Other Instances When Financial Institutions Overcharge Borrowers
Other than technical anomalies, there are also other instances where these financial institutions overcharge their clients. One common mistake that is done by numerous financial institutions around the globe is due to the lack of skill or foresight on the part of the employees of the bank. As much as computers and other devices malfunction, humans are likewise susceptible to committing mistakes or overlooking facts.
People often work late hours just to make money, right? Well, this is one contributing factor to the mistakes that employees of financial institutions make day in, day out. This is one risk that the owners take when they run a business like this.
Tips to Avoid Financial Overcharging
The first thing that you should consider doing if you want to avoid financial or even loan overcharging is to double check the interest rates as well as the fees that are charged upon application. It is important that you thoroughly read through the stipulations that the contract of loan has. Failure to do this can cause financial disaster on your part and financial boost on the company’s part.
If you find some unusual charges or interest rates on the loan charges, you should immediately talk with the representatives of your particular financial institution. Remember not to confront them immediately with anger because such overcharges might be caused by some technical glitches as discussed earlier in this article.
Loan overcharging has become rampant in the society today due to the monetary needs of people. Thus, it is very important to know the terms and conditions of the mortgage so that you may not be overcharged. Whether the overcharging of rates and fees are deliberate or not, you are likewise liable for any complication that may arise as regards to financial overcharging as you are given ample time to review the terms of the contract.
Companies that are engaged in claims management that have, more or less, generated billions of money out of PPI are carefully considering to mortgages because they believe that this is the next big misspelling scandal.
A lot of companies that are engaged in claims management are projected to release TV advertisements as well as web campaigns that have mortgage borrowers as their audience. It is said that the primary aim of these companies are those customers who have interest-only mortgages. Financial companies that offer various mortgages strongly suggest that this plain by claims management companies will not succeed.
Interest-only mortgages are loans where clients pay interest each month without paying the capital. More often than not, these borrowers have vehicles to pay off the entire mortgage when it expires.
The Mortgage Controversy
These kinds of mortgages are linked to controversies across the UK as it was shown that most of the borrowers do not stipulate the payment method for the capital. A few blames banks and other financial institutions for their failure to monitor their checklist. There is even a huge cloud over these mortgages at the moment as the FSA or Financial Services Authority is looking to penalize these mortgages.
However, that cloud has somehow been set aside as lenders today will still allow people to borrow money so long as they have a convincing repayment scheme.
The claims companies across the UK might be turning their attention to mortgages such as these but the main thing they are looking at is the huge possibility of mis selling of these loans. They will try to capitalize on such mistakes.
Jump on to what?
To date, the various claims companies are getting in a dog fight as they see the mis selling business as a factory for them to generate money. One company that did not want to disclose their name boasts that they will be looking to be at the top of the mis selling businesses before the month ends with their “effective” marketing plans. He even had a swipe on competitors stating that there were other claims companies that wanted to enter into the business without even having a clue as to what to do. Anyway, here are some instances that strongly points to the mis selling of a mortgage.
Mortgages are likely to be misssold if…
Sub-prime loans – here a broker might immediately put a borrower on a sub-prime loan when he could have placed a borrower on other loans that have cheaper rates.
Self-certification – self-certification is usually done by the applicant. Now if the applicant or borrower does not fit the boot set by the company, why then was the mortgage approved?
These may not be all the instances but they are definitely the most widely used out there. So if you think that your broker is doing something suspicious, make sure that you ask questions so that you can clear things up.
There has been an alarming increase in the number of people withdrawing money from pension schemes before they’ve even attained the age of 55 years. Although this is unauthorised by the U.K authorities, cases of pension withdrawal before maturity has continued to sky rocket. This trend is a result of the emergence of alternative pension providers based overseas to evade the UK authority.
How pension is released from one’s pension fund.
Transfer of pension fund; one can transfer funds to a Qualifying Registered Overseas Pension Scheme (QROPS) that facilitates withdrawal of pension funds before the minimum retirement age.
Alternative pension providers. This makes arrangements for the pension funds to be invested overseas.
Security and loans. You can also hand over control of your pension funds to a pension provider as securities and loans.
Selling. You can also result to selling the pension funds and in return get cash for the same.
Risks involved in redeeming pension funds before retirement
You risk depreciating the value of your pension plan if you decide to have it withdrawn from your plan years before you retire. In addition to that, you also deplete funds that would otherwise be put to good use after retirement.
The purpose of a pension scheme is to give you financial freedom after retirement and in your old age. Withdrawal of funds early exposes not just you, but your family to financial challenges later on.
Any unauthorised withdrawal is subject to tax charges, followed by additional penalties in cases of failing to report about the withdrawal.
There is also a high chance that you will run in to scams who might be trying to con you out of your pension. Not all early pension schemes are genuine and this could result in the entire lose of your pension funds.
Companies that specialise in pension release
The Financial Service Authority (FSA) is a financial regulatory body that is set to monitor and regulate Early pension release companies in the U.K. FSA was set up to protect consumers against loss of their funds and to ensure that their rights are observed by all financial institutions. They will take a detailed look at your current pension provision as well as your personal situation, circumstances, and your attitude towards investment risk.
They will be able to advise you of the disadvantages, as well as any advantages of pension release. Should you decide to go ahead with it, they will be able to act quickly and efficiently to release your money for you, often within a matter of weeks.
Considerations before registering to any scheme
If you want to be sure and are in doubt, the first step is to check the pension release scheme under the FSA registry. If the name is not there, then you should probably move on to another one until you find one that is registered with FSA. Any firm not registered with FSA will mostly be ruled out as unauthorized and will not be worth risking as it may be a Scheme that will defraud you of your pension.
To match up income and liability obligations from assets, you can use interest rate swaps. It lets you make an agreement with other parties to trade fixed and floating interest rates for a precise period of time. If you perceive that rate swaps are no longer profitable or you no longer wish to use their benefits, you can opt to exit the swap even before the expiration date arrives.
Exiting Interest Rate Swap
There are four curial ways in which you can exit an interest Rate Swap before the expiry date hits. These ways are further divided into two options exit before the expiry date and exit after the expiry period.
Exiting before the expiry date and exiting after the expiry period
Selling the Swap. If you desire to completely do away with the Swap, you can opt to sell it since every interest rate swap has a value. The first step is to get a consent form to the first party that you had been involved with to establish if they are willing to let you sell the Swap. If they are unwilling to let you sell, you could then settle for another rate Swap strategy. But if they are willing to let you sell, then the second step is to calculate the value of your swap spreadsheets in order to sell it to another party.
Buy out. This is an exit strategy that allows you to do so before the expiry date. This exit strategy demands that you terminate the contract early by paying the opposing party the true market value of the Swap. This, however, has to be stipulated in the initial contract or the Swap holder to obtain counterparty’s consent in advance. This type of exit strategy occurs when you are dealing with prospective or future contracts.
This is another strategy that is available to a Swap before the expiry date. When taking this option, it is allowable to set it up. This way, you will need to build new contracts with another party to avoid losses in cases you experience a volatile market. This strategy of exiting the Swap is not so different from the other three strategies.
Offsetting Swaps. This is a strategy that lets you offset its consequences to another party. This is done when you cannot completely do away with the Swap. It lets people with fixed swap rates enter into an agreement with someone else in order to float Swap rates.
Entry and exit of Swaps
Interest Swaps can be very beneficial to both individuals and companies as financial tools. However for most, they are very confusing. Anyone willing to venture into swaps must first clearly understand the merits and demerits of swaps. The other crucial thing one must understand is the entry and exit of Swaps. When they are no longer beneficial to you, you must find an exit strategy that does not violate the terms and conditions stipulated in the contract.
Making a PPI claim with no original paperwork or documents is possible, despite many people claiming otherwise.
We will not need any original documents, paperwork or even the policy number to help you make a PPI claim. We have many years experience in dealing with these type of claims and in some cases have helped the client recover up to 15 years worth of mis-sold protection policies. Even if you are unsure whether or not your old loan policy had PPI attached this doesn’t matter as we can research this for you.
We have over 15 years experience in dealing with all kinds of financial and banking problems and complaints and therefore pride ourselves on the fact that we can make a claim with very little information. All we require to make a claim on your behalf is your permission, the name of the original lender and your address at the time. We are able to make sure that you claim back everything possible that could be owed to you by researching your credit history and also by studying a list of direct debits supplied by your bank.
What is PPI?
PPI or payment protection insurance is a form of protection applied to different forms of borrowings such as loans, mortgages, credit purchases, credit cards and other debts. It protects the lender from borrower’s inability to pay the debt due to accident, illness or unemployment. This can be a one-time payment or it can be collected in small amounts that form part of the loan amortization table.
When is PPI considered mis-sold?
Most of the incidents of mis-sold PPIs took place over the last 15-20 years, and they can be classified as one of the following incidents:
The cost of the PPI was added to the loan without informing the borrower.
The terms and conditions of this insurance were not made known to the borrower.
Borrower was not informed that PPI is optional and was made to believe that it was a requirement for the approval of credit.
The borrower was self-employed or unemployed when PPI was sold.
The borrower was exempted from the insurance due to medical condition.
There may be other reasons why PPI was mis-sold not included in the list above please contact us in the form provided or alternatively telephone 01752 840623 so we can discuss things further. Please remember we do not need any documents or paperwork to help you make a claim.[/vc_column_text][/vc_column][vc_column width=”1/3″][/vc_column][/vc_row]
Identity theft is stealing another person’s identity. It is committed when a person pretends to be someone else and commits a crime under the name of the other person whose identity is stolen. The person whose identity is stolen suffers the consequences of the crime.
Identity theft is one of the fast rising crimes today. This is especially common on the internet. There are ingenuous hackers who can steal your identity by hacking into various accounts and gaining access to your personal information. The effect of this crime can be devastating and take years to put right.
If you suffer from such a crime, you will have to endure a lot of emotionally as well as financial difficulty in this situation. You will not only go through tough financial losses but emotional losses as well. And it might take you years and years to regain your identity and reputation once a crime is committed by a criminal who has assumed your identity.
Types of identity theft
Criminal identity theft
Financial identity theft
Medical identity theft
Child identity theft
These days, many people dread identity theft. This feeling can lead you to find the best ways to keep the criminals away.
Tips to prevent identity theft
Here are a few tips that can help you prevent identity theft from happening to you:
Keep your information private and secure
You should always keep information about yourself private and well secured. Do not divulge any sensitive and personal information over the phone or internet. With the development in technology, it is very easy to tap your phone lines and internet lines such that personal information passed through this medium can be easily hacked.
Shred your documents
Do not just throw your documents in the garbage. There are people who try to find information via discarded credit card statements and utility bills. The information in these statements contains vital information that will help an intruder succeed in stealing your identity. Thus, burn or shred these documents.
Secure your credit cards and debit cards
It is very frequent that information on credit cards can be stolen when your card is used for a transaction. You have to be watchful when you use your card to pay for your purchases. Look at the actions of the person swapping your cards closely and make sure there is no wrong doing involved in the process.
The repercussion of a stolen identity can be very serious. It is important for you to be very vigilant about your personal information.
High profile thieves are not interested in your not so valuable personal items these days. Today, what they want to steal is your life – your identity. With the advanced technology that is available today, it is easy for criminals to exploit people who leave themselves vulnerable to identity theft.
Identity theft is a fast rising crime and once victimized, you can be left with insurmountable problems. You will have no end of hassle rebuilding your wrecked persona. If you want to keep your identity safe, you have to take responsibility for protecting personal information about yourself. It is your life and only you can watch out for your safety.
Let us look at some of the important suggestions that will help you make sure that your identity remains safe from prying eyes:
Caring for your wallet, purse or bag
You may be very lax in leaving your things unattended and this can be an opportune time for the thieves to get your personal belongings. What you have to do is keep your belongings close to you, do not just leave them anywhere. Refrain from keeping sensitive information in your wallet.
Caring for your mail
Most people do not keep their mailbox locked. This is giving the culprit a chance to go over your mail and get statements and letters from your bank. They can use the information in these statements which will pave way for them to succeed in identity thievery. What you have to do is to keep your mail box locked at all times.
Disposing of your trash safely
These bad elements know that they can find a gold mine in the garbage. You may throw old bank or credit card statements away without a thought. Bad elements can rummage through the trash and get these items and use them in stealing your identity. What you have to do is shred or burn these old statements. Never leave the pieces together if they contain valuable information.
Installing antivirus and antimalware programs
Professional hackers can access your computer and get the needed information that you keep on computer or use on internet. What you have to do is to install antivirus and antimalware software that will protect your computer from viruses, spywares and other programs that try to steal your information on computer and internet. Moreover, you should never give any personal information to dubious websites.
Identity theft is very prevalent today. You should be wary while divulging your personal information on any medium.
Theft is a crime, something unlawful. Yet crime is a good source of income for the bad elements of society. Theft now is just not about stealing money and personal property. One of the most common acts of thievery that is becoming very widespread today is identity theft.
Definition of Identity Theft and identity Fraud:
Identity theft is using another person’s personal information without the concerned person’s permission. This is the illegal use of names, addresses, SSN or any other identification data of that person.
Identity fraud is the use of stolen identity in criminal activities in order to deceive the authorities in the acquisition of assets, goods or services.
Sources of information for ID theft crimes:
Identity thieves make use of your personal information such as driver’s license, national ID, passports and more. They can also use your credit cards, ATM cards and credit cards, and bank statements. So, be careful, and secure these documents at all times.
Problems caused by identity theft:
Once a thief gains access to your personal information, the culprit is able to perform fraudulent activities. As soon as you become a victim of id theft or id fraud, you may be facing a number of problems.
When a credit card under your name is used for purchases, you are liable for the payment of these items. Your bank will collect the bills from you even if you have never bought them.
The thief can gain access to your checking or savings account and might be able to withdraw money from your account if the account has balances.
When you become a victim of id crimes, you will be suffering from emotional struggles besides the financial stress.
The illegal activities can cause damages to your name and it may take months or even years to clear your name.
It takes a long time to clear your name for illegal transactions. These crimes will even form part of your credit report until your name is cleared by authorities. In such a case, you will not be able to get loans and financial services easily.
Clearing your name in identity theft crimes can be a costly affair.
The problems involved in identity theft are too daunting. In order to prevent being a victim of identity theft, you should be careful with your personal information.
Bad elements have begun to use the internet as a means to steal your identity. Then, the stolen identity is used in fraudulent financial transactions to gain money using your identity. In the end, you may end up paying for a crime you did not commit. You may be required to pay for the illegal credit card purchases and other financial transactions. Most of all, it takes a lot of time and effort to rebuild your reputation.
To avoid being a victim of identity theft, you should pay attention to several preventive measures.
Online prevention of identity theft
Safeguard your online information
You should use strong passwords that will make it very hard for criminals to guess passwords for your online accounts. This will prevent access to your personal information. Do not write down your password or save it in any document in your computer. Refrain from using your birthday, name, phone number, children’s name, or spouse’s name as your password. The best passwords are unrelated words that also carry numbers or symbols.
Always shred sensitive documents
Do not just throw out old credit card and utility bills. Bank statements, no matter how old, can be sources of information that can lead to identity theft. The least that you should do with these documents is shred them. Shredding the outdated statements before discarding then in the garbage will make it difficult for identity thieves to put them together.
Phishing is usually done by sending you an email that has a suggested link. Once you click the link, your personal information can be accessed by the criminals. Phishing emails may look like emails sent from authorized sources. But you have to be wary of phishing attacks. If an email that comes from a trusted source asks for your user names and passwords, then you should ignore them at once. Banks and financial institutions never ask for sensitive information on the internet.
Identity theft protections services
There are companies or service providers that function for the protection of people against crimes of identity theft. The company submits fraud alert on your behalf and some of these providers will search the internet to determine if there are other people using your identity.
If you are not yet victimized in an id theft crime, you will not realize the repercussions of the crime. But then, you should never be very complacent because criminals have very ingenuous minds and they can harm you by using your personal information found on the internet.