Mortgages & PPI

What is Mortgage PPI?

Mortgage PPI is essentially a form of insurance that covers the policy holder in the event of being unable to meet the repayments needed on the mortgage. This could be through illness, sickness, accident or anything else that would stop the holder working through no fault of their own.

Having PPI on a mortgage is usually a mainstay for most mortgage holders in the UK, it offers the protection needed for such a life changing financial commitment. PPI on a mortage is a great product if and when it is used correctly, the problem is when mortgage PPI is mis-sold to customers who are not eligible and could never claim on the insurance.

This has been the main reason why claiming baack PPI compensation is becomming rife in the UK, customers of mis-sold mortgages, loans and credit cards are claiming back all the premiums they have paid for PPI over the life of the plan, mortgage or loan. This averages at £3000 per customer but for mortgage PPI the premiums are largely dependant on the size of the mortgage and repayment plan, it could easily run into tens of thousands of pounds.

Tags: mortgage, mortgage ppi, ppi

Posted in mortgage ppi