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Look at those lines. Admire the aerodynamics and styling. Oh how fabulous it would be to be seen driving that beautiful new car. All the neighbors would drool, dribble and babble, while turning green with envy. All you have to do is go in and buy it, and the Payment Protection Insurance the sales person will be demanding you purchase at the same time.

The idea sounded rather tasty until, Payment Protection Insurance (PPI) entered the picture. In the UK, PPI is pushed on consumers when purchasing such things as automobiles, real estate, and credit cards. Offered as a way to protect consumers from falling behind in payments in case of injury, illness, layoff, and even death; PPI is played up as the stop gap protection. Little is discussed as to the real benefit of this type of insurance to the consumer.

Consumers loving the idea of that new item or property have fallen prey to this unethical and deceitful practice for some time. Billed as a type of financial protection, it has shown it does not live up to its promises. Consumers know at any time situations and events could cause making a payment on time an issue. In some situations, no payment will be made at all. Enter PPI to the rescue.

Consumers entering into financing contracts should be made aware of approaching pressures to buy this type of insurance in addition to their intended purchases. In many situations, sales people are insisting customers purchase PPI while making their intended purchase. Pressure is applied and in some cases, the deal making process is stopped until the customer agrees to purchase PPI. As you might imagine, it’s done in the best interest of the customer.

These types of practices and the way PPI actually worked were the source of a storm of complaints going into (FSA) Financial Services Authority, a UK government agency. Due to all the complaints, FSA and other appropriate authorities investigated. They reported that; in 2006 1.4 billion pounds was the combined profit for the 12 largest distributors of Payment Protection Insurance. These same distributors showed a gross combined written premium (GWP) of 3.5 billion pounds. Payment Protection Insurance proved to be very profitable for the distributors.

Consumers discovered purchasing Payment Protection Insurance increased the price of the item or service purchased, and came with draw backs. Even though it’s sold as payment protection, it offered little. In many cases when used, holders of these types of policies were often denied claims for various reasons. For example, policy did not cover claims file for illness or injury resulting from pre-existing conditions.

Some consumers discovered PPI only covered a 12 to 24 month period of payments. At the end of the period, payments stopped and they feel behind, but payments on the insurance premiums continued. As a result, complaints poured into regulating authorities demanding an investigation. Investigations by authorities did in fact determine, milking of customers. To this day fines are continuing to be levied against violating companies.

Even though fines and penalties have landed on offending companies; that is of little comfort to those who have already loss and suffered the emotional and financial damage. Payment Protection Insurance may sound like a great idea and it could be however; consumers have discovered purchasing such insurance is better done away from sellers of other products and services. It is also likely to be much cheaper.

Looking to get your cash back from mis-sold-ppi? Then visit www.Mis-Sold-PPI.com to start your PPI claim today.