Mis Sold Ppi Credit Card Calculator

What is Mis-Sold PPI?

Payment Protection Insurance (PPI) was a type of insurance sold to credit card holders in the UK. The insurance promised to repay credit card debt if the cardholder became unemployed or fell ill. However, many consumers were mis-sold PPI because:

• They were not aware they were being offered PPI
• They were not given clear information about the costs and benefits
• They were pressured into taking out PPI
• The insurance was often more expensive than the credit card itself

In 2017, the Financial Conduct Authority (FCA) ruled that PPI sold between 2004 and 2009 was mis-sold, meaning consumers could claim compensation. The maximum compensation available is typically £1,500 per policy.

How to Calculate Mis-Sold PPI Losses

To estimate your potential losses from mis-sold PPI, you need to know:

• The number of PPI policies you held
• The monthly premium you paid for each policy
• The duration of each policy

The basic formula for calculating total PPI premiums paid is:

For example, if you had 2 PPI policies, each costing £5 per month, and you held them for 3 years (36 months), your total PPI premiums paid would be:

This means you paid £360 in PPI premiums that you didn't need. If you qualify for compensation, this amount could be refunded to you.

How to Recover Mis-Sold PPI

If you believe you were mis-sold PPI, you may be entitled to compensation. Here's what you need to do:

1. Gather evidence of your PPI policies, including policy documents, bank statements, and any correspondence with your credit card provider
2. Contact your credit card provider to request a refund of the PPI premiums you paid
3. If your provider refuses to refund, you can make a formal complaint to the Financial Ombudsman Service (FOS)
4. If you qualify for compensation, you may receive up to £1,500 per policy