Can Businesses Claim For Mis-Sold PPI

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When it comes to claiming for mis-sold PPI, it can be difficult to know where to start. While there are a broad number of individuals who look to submit a PPI claim, it is possible for businesses to be equally as successful when it comes to reclaiming any mis-sold payment protection insurance. Here, we’re taking a closer look at how businesses can claim for mis-sold PPI for any loans which were taken out between 1990 and 2010.

How Do You Know If Your Business Was Mis-Sold PPI?

Business and commercial PPI was made available on a number of different loan times including fixed rate loans, variable rate loans and treasury loans in order to protect the business in case a named person or persons was impacted by sickness or accident and could not keep up the repayments of the business loan. There are a large number of banks which actively promoted the selling of PPI with business loans, but how can you know if your commercial PPI was mis-sold to you?

Firstly, if you believe that your bank did not make it clear to you that PPI was an option, if the insurance was added to your policy without your knowledge, the cost of the insurance was not properly explained to you or you were not aware that if your loan was repaid early you were eligible to a partial refund, then you may have been mis-sold PPI. There are a number of other ways to determine if you had been mis-sold PPI, but typically if you were opted in for PPI without your knowledge, the terms and conditions were not fully explained or you were unaware that PPI was an optional add-on to your loan, then you may be entitled to make a claim.

How Can Businesses Claim For Mis-Sold PPI?

The claims process for business loans is very similar to that of individual policyholders who have been mis-sold PPI. The lender should be contacted in order to make a claim either directly or through a PPI claims company and this must be carried out before the deadline of 29th August 2019 hits.

What Can Businesses Who Claim For Mis-Sold PPI Expect?

When it comes to claiming for mis-sold PPI from business loans, then businesses can expect to receive a significant amount of compensation. For example, they may receive a full refund on any interest or even on the whole premium depending on the circumstances surrounding the claim and its nature. There are some examples of businesses receiving compensation from any losses which they may have suffered such as a business opportunity, as the addition of mis-sold PPI to a loan can have a significant impact as a whole.

What If The Commercial PPI Claim Is Rejected?

There are some circumstances where there may not be enough evidence for lenders to willingly compensate businesses who may have been mis-sold PPI and as such, some businesses give up on their claim. However, if your claim has been rejected, you may find that you can contact the Financial Ombudsman Service to start the process again. This is particularly important for those who may have previously submitted a claim which was rejected, as precedents have continued to develop over time as a result of cases such as Plevin v Paragon.

As you can see, it is perfectly possible for businesses to claim for mis-sold PPI and as long as they follow the processes, obtaining compensation can be simple.

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