What are the Timescales for Claiming Back PPI?
When claiming back mis-sold PPI, there are several time limits and deadlines that the claimant needs to be aware of. Some are for you the claimant to meet and some are for the lender, but the claimant needs to be aware of them all in order to ensure that the claim runs smoothly.
Below are seven PPI timescales that may occur throughout the PPI complaints process, the bolded ones are those that must be met by the claimant, if any of them are missed, the claim runs the risk of being cancelled, with no chance of reconsideration…
1. When a complaint is first submitted – the lender has 8 weeks to reply
2. If the lender replies saying that there was no PPI on the policy, but the claimant thinks there was – the claimant has 6 months to respond
3. If the lender replies saying your PPI wasn’t mis sold, but the claimant thinks it was – the claimant has 6 months to respond
4. If the lender replies saying your details were wrong – the claimant has 6 months to respond
and provide the correct details
5. If the lender makes an accurate refund offer – the claimant has 6 months to accept it
6. If the lender makes a low refund offer – the claimant has 6 months to appeal it
7. If the lender makes a second low offer – the claimant has 6 months FROM THE DATE OF THE FIRST LOW OFFER LETTER to appeal it at the Financial Ombudsman (FOS)
KEY FACT: In the ‘second offer’ situation, the 6 month deadline to appeal to the Financial Ombudsman Service, starts from the date of the first offer letter, and it may be 8weeks before the second offer is received so time is of the essence!
These timescales are in place to make sure that a complaint is resolved as quickly as possible. Banks and other lenders are handling hundreds of thousands of PPI claims at any one given time, so in encourages efficient processing of PPI complaints. If claiming through a PPI Claims Company, they will likely take care of all the necessary responses within the timescales permitted. However, if the details are incorrect or the bank requires more information, then it is incumbent on the claimant to provide the information promptly.