Egg loan insurance
In 2008 Egg stopped selling payment protection insurance via the telephone after a Financial Service Authority (FSA) investigation found failings in the way the lender conducted some of its sales. The FSA looked at sales that occurred between January 2005 and December 2007 and found problems with around 40% of the telephone sales. The FSA was particularly critical of the fact Egg staff had been trained to continue to try and sell cover even after customers had refused. Egg referred to this practice as ‘objection handling.’ It was also found that some staff had over-emphasised the positive benefits of the.
It was not just Egg loan insurance that was investigated by the FSA or criticised for sales techniques, the mis-sale of payment protection cover proved to be a wide reaching problem affecting business and customers across the business world. The cause of the scandal can only be speculated upon. Some claim that the high profits generated by the sale of payment protection cover led to a commission culture and an attitude of ‘sell at all costs’ while others blamed a lack of training and understanding of the product. Whatever the root cause, and it is likely to be a combination of factors, the mis-selling scandal has grown to epidemic proportions. Since 2005 The FSA has received in excess of 1.5 million complaints and lenders have paid out hundreds of millions of pounds in compensation.
If you think you have been mis sold PPI you have the right to make a complaint. It will not affect your relationship with your bank or your credit rating. You can even make a claim if you have already paid off your loan or no longer use your credit card account. To find out more about how to start an Egg loan insurance claim, call 0207 471 2000 to speak to a member of our claims team. We have already helped more than 60,000 people and many of our customers receive their PPI refunds in just 8 weeks.
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