What is Toys R Us store card PPI?
Toys R Us payment protection insurance (PPI) may also be known as credit insurance, credit protection or loan repayment insurance among other terms on your documentation.
PPI is an insurance that helps someone who has taken out any form of finance to meet their repayments if they become sick, injured or redundant.
There is often confusion between PPI and income protection insurance. The two products are very different. PPI is a short-term policy, usually 12 months, sold with a loan and other credit products. This gives the borrower time to look for a new job or to return to work, if appropriate. Successful PPI payouts are made directly to the loan provider, not the policyholder.
On the other hand income protection insurance covers 70% of the policyholder’s income if they are unable to work due to an accident or sickness. This protection is long-term and can cover the policyholder until retirement if they are unable to work again.
Toys R Us sold many PPI policies that were added to loans, credit/store cards, mortgages or overdrafts.
Was Toys R Us PPI mis-sold?
Toys R Us PPI was added to some customers’ loans without their knowledge. Other borrowers say that Toys R Us told them their loan, mortgage or credit application may not be approved if they didn’t have Toys R Us PPI. This resulted in borrowers taking out Toys R Us PPI to avoid losing the deal, regardless of if they needed the policy or not.
Could you have been mis-sold PPI by Toys R Us?
If any of the following situations occurred at the point of sale, you may have been mis-sold PPI by Toys R Us:
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- At the time Toys R Us sold you the PPI policy, were you unemployed, self-employed or retired?
- If you were unemployed, self-employed or retired when Toys R Us sold you your PPI policy, you would not have been covered so would not have received any benefit from it.
- Were you aware Toys R Us had added PPI to your agreement?
- If you unaware Toys R Us had added PPI to your agreement, it was done without your consent. Alternatively it could have been an opt-out box that wasn’t clearly visible.
- Were you told what the total cost of Toys R Us PPI was at the time of sale?
- Toys R Us should have explained all costings relating to the PPI. This will be a major mis-selling factor if it wasn’t done.
- Did Toys R Us make it known 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 Toys R Us, this is classed as high commission under the Plevin rule. You were mis-sold and due a PPI refund.
- Was it made clear to you by Toys R Us that you could cancel the PPI policy?
- Toys R Us should have notified you of your right to cancel the PPI policy within the cooling off period.
- Did Toys R Us bring to your attention any of the circumstances or exclusions where you would not be successful in making a claim?
- If Toys R Us had not made clear any exclusions or circumstances that would prevent you from claiming, you may have been mis-sold Toys R Us PPI policy.
- Did Toys R Us check to see if you had other PPI arrangements that would cover repayments?
- Toys R Us has a responsibility to find out if you had sufficient PPI cover elsewhere.
- Was there any pressure by Toys R Us into purchasing the PPI policy?
- Toys R Us should have looked at your personal situation to assess if you would benefit from having PPI without any pressure or hard-sell.
- When taking out the PPI policy with Toys R Us, did you have any pre-existing medical conditions at that time?
- If this was the case and you could not have worked for the duration of the Toys R Us PPI term, you would not be covered by the Toys R Us PPI policy.
- Was it inferred to you that Toys R Us PPI was necessary to get the finance?
- If the finance sought was such that required a PPI policy, Toys R Us should have let you know that you could shop around to find and compare PPI cover or if you already had PPI in place, Toys R Us should not have sold you their PPI policy.
- Did Toys R Us PPI have an upper age limit, if so, were you older than it?
- If Toys R Us PPI specified an age limit for cover and you were older than this, you would not be covered by the policy.
- What was the term of Toys R Us PPI, was it was less than the term of finance agreement? Also, did Toys R Us advise that there would also be a period of no cover towards the end of the finance agreement?
- If Toys R Us didn’t explain that you would have a period of no protection during the term of the finance agreement, your Toys R Us PPI policy was mis-sold to you.
- At the time Toys R Us sold you the PPI policy, were you unemployed, self-employed or retired?
What you could claim from Toys R Us
If your claim against Toys R Us is upheld, you may receive a full refund of PPI paid to Toys R Us, this includes any interest charged on the PPI. Statutory interest of 8% per year is also payable on the premiums and any interest charged.
How to lodge a PPI complaint with Toys R Us?
A deadline of 29 August 2019 has been set by The Financial Conduct Authority (FCA), by which time all PPI complaints will need to have been submitted. After which time, customers will lose the right to have their complaint assessed by us, or the Financial Ombudsman Service.
If you have been sent a letter from Toys R Us outlining potential concerns about the way PPI may have been sold to you, you may have less time. It is important to act as soon as possible.
Please be assured, when checking or complaining about PPI to Toys R Us, your relationship with, or your credit score will not be adversely affected.
If you have a concern about how your PPI Policy was sold, 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 straightforward as possible. Our process is designed to make it as easy as possible for anyone 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 Toys R Us to find out if you had any PPI charges on your loan or finance agreement.
