CPP card and identity protection policyholders were able to claim compensation for mis-sold policies. However, the deadline for claiming compensation has now passed.
CPP sent letters and compensation claim forms to seven million card and identity protection policyholders during February 2014. The card and identity protection policies were often sold when customers called a bank or credit card issuer to register or activate a debit or credit card.
If you received a letter and claim form from CPP, and you wanted to claim compensation, you had to submit the claim form to the scheme administrators by 30 August 2014.
We understand the scheme administrators will not consider compensation claims they receive after 30 August 2014, other than in two exceptional circumstances:
If either of these exceptional circumstances apply to you, you should send a written request to be considered for compensation (together with supporting documents and your completed claim form) to the scheme administrators at:
Scheme Processing Services Limited
PO Box 250
You must ensure the scheme administrators receive your written request by 28 February 2015.
If the scheme administrators sent you a replacement compensation claim form (for example, if your first one was not completed correctly) you must return your completed claim form by the date specified by the scheme administrators for it to be considered.
Under the terms of the scheme you will not get a third opportunity to complete the compensation claim form correctly.
If you want to complain about the handling of your claim to the CPP compensation scheme, you should follow the dispute resolution procedure set out on cppredressscheme.co.uk.
You may also have received a letter from the scheme administrator with information about the dispute resolution procedure.
If the scheme administrator rejected your claim and you want to dispute the decision, you must ensure the scheme administrator receives your written reply within 30 business days of the date on the ‘notice of rejection’.
You should be aware that CPP, or the bank or card issuer that sold you a card or identity protection product, are not obliged to deal with disputes solely about how a claim to the CPP compensation scheme was handled now that the scheme is closed.
Policyholders bought and renewed about 23 million policies from CPP, a bank or credit card issuer.
We found widespread mis-selling of card protection and identity protection policies that were provided by CPP and sold by several banks, credit card issuers and directly by the firm. We fined CPP £10.5m for mis-selling the products, which we announced on 15 November 2012.
If either of the two exceptional circumstances described above apply to you, you may still be able to claim compensation.
You may be entitled to compensation if you were given misleading or unclear information when you were sold your card and/or identity protection policy, and you purchased the policy based on this information. The amount of compensation you might receive will depend on the length of time you had the insurance policy and which of the two insurance products you bought.
If you are entitled to compensation, and the scheme administrators agree that either of the two exceptional circumstances apply, you will have the premiums you have paid since 14 January 2005 returned to you, less any sums paid out under the policy, plus interest. This date is used because it is when we started regulating insurance products like these.
Card protection costs about £30 a year, while identity protection costs about £80 a year. The average compensation payment to date is £188.
If you need further information about the scheme, call the dedicated helpline on 0800 083 4393 (outside the UK call +44 1144 520 800) or go to cppredressscheme.co.uk.
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