1. Understand the Purpose of a PPI Complaint Letter
A PPI complaint letter is used to request compensation for mis-sold Payment Protection Insurance (PPI). Many banks and financial institutions mis-sold PPI alongside loans, mortgages, and credit cards without properly explaining the terms.
A well-written PPI complaint letter can help you:
✅ Claim compensation for unfair charges
✅ Request a refund with interest
✅ Hold the bank accountable for mis-selling
2. Check If You Were Mis-Sold PPI
Before writing your letter, confirm that you were mis-sold PPI. You may have a claim if:
- You were not informed that PPI was optional.
- The PPI was added without your consent.
- You were pressured into taking it.
- You did not qualify for PPI but were sold it anyway (e.g., self-employed, retired).
- The terms and conditions were not clearly explained.
3. Gather Important Information
Before writing your PPI complaint letter, collect:
- Your full name and address
- The bank or lender’s name
- Your account or policy number
- Details about when and how PPI was sold
- Copies of relevant documents (loan agreements, statements, etc.)
4. Maintain a Professional and Clear Tone
Your letter should be formal, polite, and direct. Avoid emotional language—focus on facts and evidence.
5. Start With a Clear Opening Statement
Begin by stating your purpose:
“I am writing to formally complain about the mis-selling of Payment Protection Insurance (PPI) on my [loan/credit card/mortgage] with [Bank Name]. I believe that PPI was mis-sold to me, and I am requesting a full refund of all premiums plus interest.”
6. Explain How PPI Was Mis-Sold
Describe how the PPI was mis-sold to you. Include:
- When and where the policy was sold
- Who sold it to you (if known)
- Why you believe it was mis-sold
Example:
“I took out a loan with [Bank Name] on [Date], and PPI was added without my knowledge. I was never informed that PPI was optional, and I was not given the opportunity to decline it.”
7. Provide Supporting Evidence
Attach copies of loan agreements, bank statements, or PPI policy documents to support your claim. If you no longer have these, request them from the bank.
8. Specify Your Desired Resolution
Clearly state that you want a full refund of all PPI payments, plus interest. Example:
“I request a full refund of all PPI premiums paid, plus statutory interest at [interest rate]%.”
9. Request a Response and Set a Deadline
Give the bank a reasonable deadline to respond (e.g., 8 weeks). Example:
“I expect a response within 8 weeks in line with Financial Conduct Authority (FCA) guidelines.”
10. Include Your Contact Information
Provide your name, address, phone number, and email so they can reach you.
11. End With a Professional Closing Statement
Example:
“Thank you for your time and prompt attention to this matter. I look forward to your response.”
12. Sample PPI Complaint Letter
[Your Name]
[Your Address]
[City, Postal Code]
[Email Address]
[Phone Number]
[Date]
Customer Complaints Department
[Bank/Lender Name]
[Bank Address]
[City, Postal Code]
Subject: Complaint Regarding Mis-Sold Payment Protection Insurance (PPI)
Dear [Bank/Lender’s Name],
I am writing to formally complain about the mis-selling of Payment Protection Insurance (PPI) on my [loan/credit card/mortgage] with [Bank Name]. I believe that PPI was mis-sold to me, and I am requesting a full refund of all premiums plus interest.
I took out a [loan/credit card/mortgage] on [Date], and PPI was added without my knowledge. At the time of purchase, I was not informed that PPI was optional, nor was I given adequate information about the policy. I now believe that I was mis-sold this insurance.
I have attached copies of my loan agreement and bank statements showing PPI charges. Given the circumstances, I request a full refund of all PPI premiums paid, plus statutory interest.
I expect a response within 8 weeks, as per Financial Conduct Authority (FCA) guidelines. Please confirm receipt of this complaint and provide an update on my case.
Thank you for your prompt attention to this matter. Please contact me at [your phone/email] if you require further details.
Sincerely,
[Your Name]
13. Follow Up if Necessary
If the bank does not respond within 8 weeks, you can:
📧 Send a polite follow-up email.
📞 Call customer service for an update.
📝 Escalate the complaint to the Financial Ombudsman Service (FOS).
14. Escalate the Complaint if Needed
If your complaint is rejected or ignored, escalate it to the Financial Ombudsman Service (FOS):
- Website: www.financial-ombudsman.org.uk
- Phone: 0800 023 4567
- Deadline: You must complain to the FOS within 6 months of the bank’s final response.
15. Final Thoughts on Writing a PPI Complaint Letter
✅ Be clear and direct – State your complaint concisely.
✅ Provide evidence – Attach loan agreements or bank statements.
✅ Request a refund – Ask for all PPI premiums plus interest.
✅ Set a deadline – Expect a response within 8 weeks.
✅ Escalate if necessary – Contact the Financial Ombudsman Service if ignored.
Frequently Asked Questions (FAQs)
1. Can I still claim for mis-sold PPI?
The deadline for PPI claims in the UK was August 29, 2019, but some exceptions may apply. Contact your bank to check.
2. How long does a PPI complaint take?
Banks typically respond within 8 weeks. If not, you can escalate the complaint to the Financial Ombudsman Service (FOS).
3. What evidence do I need for a PPI claim?
Attach loan agreements, credit card statements, or any documents showing PPI charges.
4. Can I complain if I no longer have the paperwork?
Yes! Contact the bank or lender and request copies of your records.
5. What if my PPI claim is rejected?
You can appeal the decision with the Financial Ombudsman Service (FOS).
6. How much compensation can I get?
Refund amounts vary, but you may receive all PPI premiums paid, plus interest.
Conclusion
Writing a PPI complaint letter ensures that your mis-selling claim is taken seriously. By keeping your letter professional, factual, and solution-focused, you increase your chances of receiving a full refund. If your complaint is ignored, escalate it to the Financial Ombudsman Service for further action.
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