The possible mis-selling of Payment Protection Insurance (PPI) in Ireland has been investigated in the past by the Central Bank . The latest review of the selling of payment protection insurance in Ireland was carried out by the Central Bank in 2011 .They looked into the suitability of sales of payment protection insurance to customers who took out loans to determine if the sales were in compliance with the Consumer Code requirements. Initial review of seven lenders raised a number of concerns and led to further more detailed assessments. The Central Bank has asked a number of firms to review all their PPI sales since August 2007. Following the review, each firm must decide what action they need to take, including contacting customers and making refunds, where necessary.
Back in 2007 the Central Bank raised several issues with credit institutions about the selling or mis-selling of PPI – these are listed below . These could be some of the possible reasons you might have been missold PPI. You will need to give reasons when you make a complaint about mis-selling of PPI.
Terms and conditions or policy documents were not always supplied to the customer before PPI was purchased .
Customers were not always made fully aware of the eligibility and exclusion clauses before purchasing PPI.
Customers were not always made aware that PPI was optional – in some cases the loan quotes were only shown with PPI included.
Customers were not made adequately aware that the decision to buy PPI did not influence the decision of approval for a loan or credit card.
When the loan term exceeded the term of the PPI customers were not always made aware that they were not protected for the full term of the loan.
In some cases customers were not aware of what they were signing and were not aware that they had actually purchased Payment Protection Insurance.
The PPI premium amount was not always clearly shown in the credit agreement.
The marking of forms by credit institutions with crosses where customer signatures are required could sometimes be misleading . If a cross was put next to the PPI acceptance – customers may have believed they had to sign for the PPI . Pre-printed crosses on forms next to the PPI acceptance were especially misleading .
All staff were not adequately trained about PPI policies – and there was a danger that it was sold to unsuitable customers. Eligibility was considered before suitability.