Major banks halt sales of single premium payment protection insurance
Mon, 26 Jan 2009
Five of the major high street banks have pulled out of a controversial payment protection insurance (PPI) market, pre-empting a ban by the Competition Commission.

Alliance and Leicester, Barclays, Co-operative Bank, Lloyds Banking Group (Bank of Scotland, Lloyds TSB, Halifax) and RBS/NatWest will stop selling single premium PPI with unsecured personal loans, by the end of January.

Conventionally offered at the same time as a loan, PPI covers the debt repayment for a few months or years if the customer is not able to pay due to accident, sickness or unemployment . However, these policies are usually very expensive for the level of cover they provide and many policies have significant exemptions making it difficult for policyholders to make a valid claim.

Recently, Which? found that up to 2 million PPI policies have been sold to people who may never be able to make a claim and getting a refund on PPI policies, paid for upfront with a single premium, is also very difficult.
add to favouritesnewsletterlink to this pagesend to friendpost comments

Link to this page

Critical Illness Cover

Critical Illness Cover

Protect your family should you become seriously ill or disabled.

Critical Illness Cover
Family Income Benefit

Family Income Benefit

Protect the family income with a family income benefit quote.

Family Income Benefit