Payment Protection Claims

Credit cards are not generally the tool of the irrational shopping addict, they are the safety net that the average family uses to get through a bad month when unexpected expenses threaten other needs. Over the course of a year, things balance out for most of us. The balance is paid off slowly during the not-so-bad months, usually just in time for another bad month. One way or another the bills get paid, we manage to feed the kids and may even order a pizza every now and then. Focusing on the positive, our not-so-exciting life could always be worse.

Life sometimes throws us a curve ball just when we think we have the careful balance between the good months and the bad months figured out. That job--the one we hated and promised ourselves we would just quit--downsized and we'd do anything to get it back. Unpleasant surprises, such as an accident, medical problem or death in the family, cut the income and multiply the bills by a factor of ten. In the juggle, groceries taste better than a good credit score and the credit card bill just doesn't get paid.

The solution to that problem was Natwest PPI. The monthly payments are paid if the cardholder suffers an accident, significant medical problem, loses their job or dies through Payment Protection Insurance. Charged to the credit card every month, the premium is based on a percentage of the balance. Just knowing that the credit card bill doesn't have to be part of the math if everything else should fail is enough to give some people peace of mind.

However, other people aren't very happy. Credit card fees are notoriously difficult for some to understand and many claimed they didn't even know they were paying for such coverage. Some are filing PPI Claims from Halifax and being rejected and others are saying that their claim took too long to process. Because it took a few billing cycles to process the paperwork, the missed payments damaged credit scores when protecting those credit scores was the reason for the insurance. Refund requests are being received along with various other complaints.

At 1.5 complaints per 1000 accounts, the rate of satisfied customers is still very high despite the sheer number of complaints. Processing times are decreasing, as are the number of complaints filed each year, and PPI isn't a bad product in and of itself. Before letting emotions escalate the issue, weigh all the facts carefully, make an educated decision before either purchasing PPI or filing a complaint, and if a complaint needs to be filed always start with the bank directly to avoid unnecessary hassle, headache and fees from mediation companies.