You can complain about PPI yourself – for free. But find out what it means – and what it will cost you – if you choose to pay a claims company to complain on your behalf.
Claims companies often contact people by text messages or phone calls, and offer to help make a complaint about PPI. They may also advertise to tell you what they can offer.
These companies are also known as claims management companies (CMCs), claims handlers and claims firms.
Remember: if you haven't complained to your provider by 29 August 2019, you won't be able to claim money back for PPI - so you should make your decision as soon as possible.
FCA regulation of CMCs
The FCA became the regulator for CMCs, including those handling financial services claims, from 1 April 2019. Visit Using claims management companies for more information.
Cost of using a claims company
Claims companies are prohibited from charging upfront fees, but most charge a fee that can be up to 20% (plus VAT) of any amount you are refunded for your PPI.
A 20% fee would mean you pay the claims company a £1,000 fee (plus VAT) out of a £5,000 refund, rather than receiving the full refund if you make the complaint yourself.
If you decide to use a claims company you should read the terms and conditions carefully and make sure you understand what it will cost you.
You should also check if a claims company is authorised on the Financial Services Register.
We also provide information to help you avoid PPI refund scams, such as where you pay an upfront fee for someone to complain about PPI on your behalf but they don’t actually make a complaint for you.
Unwanted calls or texts
Some claims companies call or send text (SMS) messages to people out of the blue, to offer to complain about PPI on their behalf.
To help stop unwanted marketing calls, register your mobile and landline phone numbers for free with the Telephone Preference Service (TPS).
The Information Commissioner’s Office (ICO) has more on nuisance calls and texts, including how to complain about them.
Complain about a claims company
You can complain to the Financial Ombudsman Service if you’re unhappy with the service you’ve received from a claims company, including about the fees they’ve charged you or the outcome of your claim.
You can complain to us if you’re unhappy with the conduct of a claims company. Visit How to complain for more information on how to complain about a claims company.