I-Group payment protection insurance (PPI), also known as loan repayment insurance, credit insurance or credit protection insurance was designed so that the borrower could make repayments to I-Group if they were unable to earn income to service the debt. This shouldn't be confused with income protection insurance which is not usually attached to a debt. PPI was widely sold by I-Group as an add-on to the loan or an overdraft product.
I-Group PPI usually covered payments for a minimum of 12 months, this gave the borrower enough time to find alternative means of making repayments such as going back to work.
Some I-Group PPI policies were sold without the consumer even aware that PPI was added onto their loan. Some consumers claim that I-Group informed them that their application for a loan, credit card or mortgage would be declined if they didn't take out I-Group payment protection insurance. In some cases this led to fear of losing a loan and the borrower would accept the I-Group PPI even though they may not of even needed it.
I-Group may have mis-sold you PPI if any of the below statements are relevant to you at the point of sale:
- Were you aware that I-Group had added PPI to your agreement?
- If you were not aware PPI had been added to your agreement by I-Group, it may have been added without your consent or it may have been opt-out box which was not obvious.
- Did you have a pre-existing medical condition at time you were sold your PPI policy by I-Group?
- If you were ever unable to work throughout the term of your I-Group PPI policy due to the pre-existing medical condition, you would not have been covered by the I-Group PPI policy.
- When you were sold your PPI policy by I-Group, were you unemployed, self-employed or retired?
- If you were unemployed, self-employed or retired when I-Group sold you your PPI policy, you would not have been covered and therefore the I-Group PPI policy would have been of no benefit to you.
- Did I-Group make you aware about cancelling your PPI policy?
- You should have been made aware by I-Group that you had the right to cancel your PPI policy within the cooling off period.
- Were you older than the upper age limit for your I-Group PPI policy?
- If I-Group had an upper age limit on the PPI policy and you were above this set age, you would not have been covered.
- Did you feel pressured into purchasing the I-Group PPI policy?
- A simple assessment of your personal circumstances to determine if PPI was of any benefit to you should have been carried out by I-Group, with no pressure or hard selling.
- Were you led to believe that the I-Group PPI policy was compulsory to your finance agreement?
- If a PPI policy was required for the finance agreement, I-Group should have made you aware that you had the right to shop around OR if you had pre-existing cover elsewhere, I-Group should not have sold you another PPI policy.
- Was the term of your I-Group PPI cover shorter than the term of the finance agreement AND did I-Group not explain that there would be a period of no PPI cover towards the end of your finance agreement?
- If I-Group did not explain that you would be unprotected for any period of time throughout the finance agreement, you have been mis-sold your I-Group PPI policy.
- Did I-Group make you aware of any exclusions or circumstances in which you would not be eligible to make a claim?
- If you weren’t told by I-Group about the exclusions, or circumstances in which you couldn’t claim, you may have been mis-sold your I-Group PPI policy.
- Did I-Group make you aware that part of your PPI premiums may have been paid as commission?
- The Plevin ruling means that if over 50% of your PPI premiums were paid in commission to I-Group, you were mis-sold and are due a PPI refund.
- Was the total cost of the I-Group PPI policy clearly explained to you at the point of sale?
- I-Group should have explained every aspect of any costs relating to your PPI agreement. Failure to do so would be considered a big mis-selling factor.
- Did I-Group enquire if you had PPI cover elsewhere that would of covered repayments?
- I-Group should have asked if you had pre-existing PPI cover elsewhere as this would have been sufficient.
If you have a successful PPI complaint against I-Group upheld, you would be entitled to a full refund PPI paid to I-Group, a full refund of any interest charged on the PPI by I-Group and a compensation interest of 8% per annum on both of those combined.