If you’ve paid a monthly charge for an account at a bank, you may be entitled to thousands or hundreds of pounds if your account was not properly advertised.
Package accounts can be extremely advantageous, however they could also be totally useless to the person who holds them. There are increasing evidence they have advertised without any understanding of their potential value for the person who is buying it.
What is what is a Packaged Bank account? Do I have a Packaged Bank Account?
A bank account that is packaged is typically a current account that comes with other options, including the following:
Policies on insurance (travel insurance mobile phone insurance, travel insurance any other)
Benefits from preferential terms on various financial offerings. This can include overdrafts, personal loans , or mortgages.
Sometimes, services and products that are not financial are also included, for example, early access to tickets for events.
To access these additional services, customers will be charged a monthly fee. The account may not be referred to as a package bank account, but it could be referred to as an “premium account” or an “added value account”.
Simply put, if you are using any of the services that are listed above, or other services provided through your institution (whether Natwest, Barclays, Lloyds, TSB, Clydesdale Bank, Yorkshire Bank, National Australia Group, RBS, Santander or otherwise) in exchange for an amount per month If you are a member of a package bank account.
Additionally, if you’ve got any of these accounts on an account at your banks, you might not know that you are paying each month to use these products. It is best to check with your bank or at your bank statements – If you don’t know you are paying for these services, it’s very likely that your package bank account was not sold correctly.
Are all bank accounts that are packaged not a problem?
Not all packages of bank accounts are bad. In fact, these accounts are a fantastic method of saving money on certain services , and could be a useful method to manage such matters. But, they can also be a total cost-saving option, based on the situation.
If the advantages of a bank account package are clearly explained and you’ve selected one that meets your requirements It is likely to be an excellent choice because a package account could be the most affordable method to secure certain types of insurance.
On the other hand, you could have been marketed to by a sales representative who was pressured to reach sales targets. They might not have explained the benefits of your account in a clear manner or assessed correctly if you’re eligible to be a candidate for the account. Some banks have been found to be mis-selling package accounts in banks. If it has happened to you and you are in debt for thousands.
Why do banks provide package accounts?
Most customers don’t look for a package bank account. They are sold by brokers instead of purchased. Customers who open the package bank account tend to have their accounts upgraded by banks or given a package account, rather than the option of a free account when opening an account for a new current account, rather than soliciting an account package.
Most major banks provide package bank accounts. These are important product that banks can use to distinguish their business from other banks on the market, enabling them to keep their clients and also attract new customers. Package bank accounts are designed to serve customers and are created to serve as such however the the pressure on sales representatives as well as the bundling of insurance products has led to inequity for customers. Customers might be confused with a simple explanation of complicated insurance products and are left wondering if the account is appropriate for them.
Why are bank accounts packaged being mis-sold?
When banks and their representatives offer package bank accounts, it’s essential that customers are aware of the appropriateness they would be with the account, and if there are better options available. If this isn’t being done, then package bank accounts could be fraudulently sold to customers.
The types of insurance policies offered in a bundle bank account are considered to be an extremely low risk option since a lot of these insurance policies are offered as a bundle along with the current account it is possible that sales representatives from banks do not pay enough attention to the policies when selling.
This means that the customers don’t have the necessary information to fully consider the benefits of the item they are purchasing, and are not taking the time to compare other companies or weighing whether a non-packaged account is the best option.
There is a chance that customers may purchase insurance policies that aren’t eligible under the system. The customer may not be eligible after they buy the policy or be ineligible due to a condition that is related to age, which wasn’t made clear to the sales representative.
Additionally, it could be the case that the insurance offered is not suitable to the requirements of the client, but the sales representative was not aware of this to the customer, or pressured him to sign up for the account.
Was I wrongly sold a package account at a bank?
If you were offered various services or insurance products with the bank, the institution must have inspected whether the services and insurance appropriate for your requirements. It is important to know what you were informed or what the representative did not inform you of when you were offered the package bank account or upgraded to your account.
Below are the categories that are mis-sold. If your situation falls into any of the classifications, then it’s possible that you be able to claim.
I was told that I had to purchase it
Many times, customers were told that they had to have the account in order for mortgage, loan or overdraft, or any other financial product. This included the fact that applications for these items would be rejected even if they didn’t have a bundle bank account. This is a false advertising.
I was not eligible to participate in the insurance policy
One of the major issues with bank accounts that are packaged is that the account holders aren’t eligible for the insurance policies they are purchasing. Most travel insurance policies include upper age limits, or other limitations.
You could be in this category If:
* You weren’t informed about significant exclusions like an upper age threshold.
* You weren’t asked about any problems that could hinder you from filing a claim. For instance an illness that could invalidate travel insurance.
* Your bank should verify whether you’re eligible to receive insurance every year, if not , you could have an unpaid claim.
You were deceived into taking your money out of the account.
* If you believed that it was a privilege obtain the package account however the bank was unable to explain the benefits of the account to you.
* A salesperson who used hard-sell tactics pushed the account onto you.
Then you were informed that that you’d be eligible for a claim, but you weren’t.
* You were informed that you would receive discounts on other insurances if you purchased a package account, but that was not the situation.
* You weren’t told the total cost of the account
The bank increased the fee on a monthly basis without informing you or the charge was added with no knowledge of your
It is important to inform that there is a cost increase for your package account as well as that the purchase has been put into your bank account. Many people aren’t aware that they are paying for their bank account with a package or the amount they’re paying. This could be evidence of fraudulent sales.
You attempted to delete the account, but were then forced to keep it
In the event that you’ve received a message telling you that you were required to keep the account even after you tried to remove it, that you’re guilty of the mis-selling of a package bank account. It could be that the salesperson’strongly recommended to keep the account, however this may also permit you to recover.
You weren’t told that you had to make sure you registered your car or phone
If a bank account package is insured, you should be aware of the have to register the items connected to it. For instance, if you have insurance for your mobile phone on the account, and the phone is stolen, you’ll require to sign up for that phone in order to be protected. If you’re not aware of this, you could be entitled to a compensation.
What is the earliest date I can claim?
There’s no limit to the amount of time you can claim, however , the more back you go, the more difficult to demonstrate. Claimants can easily claim if your account has been in use within the last six years. But don’t think that this will stop you from making a claim there is still a way to claim and a professional packaged bank account claims handler will do the additional task for you. Here are some tips to follow in different situations:
* Accounts that were opened in the past six years There should not be an issue in filing a claim, even if the account has been closed.
* Older accounts that remain activeor closed within the past 6 years, you can can make an application. The six-year rule is applicable to accounts that are active. If a account was created eight years ago and shut down four years later the account was active during the crucial six-year timeframe.
* If your policy was terminated more than 6 years ago, the reason is that banks don’t require documents that are more than 6 years of age. There is however no deadline for filing claims and if you still got the documents, filing claims may still be feasible.
Are you able to stay with your current bank after you have made an PBA claim?
Yes, it is possible to maintain your bank even if you file an PBA complaint against them, rather than moving your banking to a different institution. We are asked frequently about this issue and are able to help you further in the event of need.
What if I registered on the internet?
There isn’t any advantage to filing an claim even if you signed for the account on the internet instead of in a branches. the same questions will be asked to determine the validity of the claim. Information you have available when you opened your account is reviewed to determine if you were misled about the quality of details displayed.
How can I submit an claim?
If, after having read this article, you believe you may might have a claim to make We can get you in contact with claim specialists who will assist you in claiming on a no-win or fee basis.
You may also file claims yourself. First, you must file an official complaint to the bank, stating explicit the reasons why you believe you were treated unfairly. Gather any evidence as well as copies of the documents you have to aid you in making your claim. This process can be lengthy and time taking and there isn’t a way to make claims as the circumstances vary and will be evaluated on a case-by-case basis. This is why it can be beneficial to employ an account claims package specialist. They’ve handled hundreds of claims and are able to put together the strongest argument to support your claim.
For an official request to your bank you should submit your complaint in written form to the complaints department. Then, you should request that the complaint be registered in the form of an official report, and seek the written confirmation of this.
In most cases, banks will deny complaints, or tell you that you have to take up your concerns through the Financial Ombudsman Service – however this shouldn’t discourage you and will not be all that is needed to resolve the road.
It is the Financial Ombudsman Service is the authority for settling disputes between financial institutions. You must provide the body with the details of your situation along with any evidence you’ve gathered, and the ombudsman will determine whether the bank account that you purchased was not properly sold. It will decide the best method of redress in the event that you are successful. In the majority of cases this will be a refund.
To submit an inquiry with the Ombudsman you have to fill out an Ombudsman complaints form. You must also attach any supporting documentation to back your case . The form has to be signed by hand and sent. The Ombudsman is not able to consider your complaint until your bank is contacted by you or through you and gives it eight weeks to answer.
The Ombudsman will send you a letter to inform you that they will review your case and will contact you with any additional details.
If you do not agree on the Ombudsman arbitrator’s verdict, you may seek a formal ruling to be taken through one of the ombudsmen who are official in the service. It usually takes several months due to the need for an extensive investigation. If after that you’re still unsuccessful you can bring your bank before a judge to recover your money.
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