What is Central Trust PPI?
There are many ways of referring to Central Trust payment protection insurance (PPI), these include credit insurance, credit protection or loan repayment insurance. The purpose of PPI was to help a borrower make their repayments to Central Trust if they couldn’t due to an unforeseen event, such as sickness, injury or redundancy.
PPI is often confused with income protection insurance. They are two completely different products. PPI provides short-term cover and is provided alongside loan and credit products. Any pay-outs under PPI go straight to the loan provider instead of the policyholder.
Income protection insurance is designed to cover 70% of the policyholder’s income if they can’t work due to accident or sickness. This is long-term protection and can cover a person until they retire if they are too ill or injured to work.
Many PPI policies sold by Central Trust were added on to a loan, credit/store card, mortgage or an overdraft.
The duration of Central Trust PPI usually covers a period of 12 months allowing the borrower to time to seek employment or return to work, if appropriate.
How was Central Trust PPI mis-sold?
Some customers were sold Central Trust PPI without knowing it had been added to their loan. Consumers say that Central Trust advised them their loan, mortgage or credit card application would not be approved if they didn’t buy Central Trust PPI. This meant borrowers took out the Central Trust PPI, even though they may not need it because they didn’t want to risk losing the deal.
Were you mis-sold PPI by Central Trust?
It is possible PPI may have been mis-sold by Central Trust if any of the following facts occurred at the point of sale:
- Were you unemployed, self-employed or retired at the time Central Trust sold you the PPI policy?
- Had you been unemployed, self-employed or retired when you were sold your PPI policy by Central Trust, you would not have received any benefit from it as you would not have been covered.
- Did you know that PPI had been added to your agreement by Central Trust?
- If you had no idea that Central Trust had added PPI to your agreement, it could have been done without your consent. Alternatively it could have been an opt-out box that wasn’t clearly visible.
- Had the Central Trust explained the total cost of Central Trust PPI to you at the time of sale?
- All costings relating to the PPI should have been explained to you by Central Trust. This will be a major mis-selling factor if it wasn’t done.
- Did Central Trust make it known that that some of the PPI premium may have been paid as commission?
- If more than 50% of your PPI premium was paid as commission to Central Trust, this is classed as high commission under the Plevin rule. You were mis-sold and due a PPI refund.
- Were you made aware by Central Trust that you could cancel the PPI policy?
- Central Trust should have explained that you had a cooling off period and could exercise your right to cancel the PPI policy within that time.
- Were you made aware by Central Trust of any circumstances or exclusions where you would not be successful in making a claim?
- If Central Trust had not made clear any exclusions or circumstances that would prevent you from claiming, you may have been mis-sold Central Trust PPI policy.
- Were any enquiries made by Central Trust if you had other PPI cover that would cover repayments?
- Central Trust has a responsibility to find out if you had sufficient PPI cover elsewhere.
- Were you pressured into purchasing the Central Trust PPI policy?
- Central Trust should have looked at your personal situation to assess if you would benefit from having PPI without any pressure or hard-sell.
- At the time of taking out the PPI policy with Central Trust, did you have any pre-existing medical conditions?
- If you had any pre-existing medical conditions that meant you could not have worked for the duration of the Central Trust PPI term, you would not be covered by the Central Trust PPI policy.
- Was it implied to you that Central Trust PPI was necessary to get the finance?
- If the finance sought was such that required a PPI policy, Central Trust should have let you know that you could shop around to find and compare PPI cover or if you already had PPI in place, Central Trust should not have sold you their PPI policy.
- Did Central Trust PPI have an upper age limit, if so, were you older than it?
- If Central Trust PPI specified an age limit for cover and you were older than this, you would not be covered by the policy.
- How long was the term of Central Trust PPI, was it was shorter than the term of finance agreement? Did Central Trust explain that there would also be a period of no cover towards the end of the finance agreement?
- If Central Trust didn’t explain that you would have a period of no protection during the term of the finance agreement, you Central Trust PPI policy was mis-sold to you.
What could you claim from Central Trust?
If your claim against Central Trust is upheld, you may receive a full refund of PPI paid to Central Trust, including any interest charged on the PPI. Statutory interest of 8% per year would also be payable on the premiums and any interest charged.
How to Make a PPI Complaint to Central Trust?
The Financial Conduct Authority (FCA) has set a deadline of 29 August 2019, by which time all PPI complaints will need to have been submitted. After this date, customers will lose the right to have their complaint assessed by us, or the Financial Ombudsman Service.
If you have previously received a letter from Central Trust outlining potential concerns about the way PPI may have been sold to you, then you may have less time, so it is important to act as soon as possible.
Please be assured that by checking or complaining about PPI to Central Trust, neither your relationship with, nor your credit score will be adversely affected in any way.
If you have a concern about how your PPI Policy was sold, it’s easy for you to contact us directly to discuss and start your check PPI for FREE.
We understand consumers may require different levels of assistance and are committed to making your check PPI** and claim process as simple as possible. Our process has been designed to make it as easy as possible for everyone wishing to make a complaint.
We’d like to discuss the details of your case with you so your complaint can be lodged as quickly as possible with Central Trust to find out if you had any PPI charges on your loan or finance agreement.
