There are many reasons why PPI scandal became so big, and one of the major reasons was that the banks were making huge profits from the sale. The customers were more focused on buying the line of credit they were looking for, without actually considering or evaluating how much they are paying and for what. Here are the few reasons that why PPI was so widely mis-sold –
- The banks were making huge amounts of profits from the sale of PPI.
- The customers were not fully aware of PPI and were going by what the banks and their agents have to say about it being compulsory at the time of buying loan or mortgage.
- The agents got huge commissions and incentives on the sale of PPI.
- The lack of awareness among the consumers also led to wide scale misselling of PPI.
These are the few reasons why PPI was widely mis-sold throughout the country. Banks and their representatives who were selling PPI were making huge profits from it, and you would not believe the kind of profit they made. They were making billions in profit from the sale of PPI each year and it is due to this reason, the banks were numb about the loss customers were bearing. The bank’s representatives were also making huge commissions on the sale of PPI, and thus, they also had no reason to stand up for the loss of the customers.
However, now the tables have turned and people can easily claim back their PPI refund. It would help them get their money back with the due interest for all those years. The process of claiming PPI refund is also very easy, and even though it may be a bit time consuming, it is strongly advised that you go ahead and file the PPI claim.