Approximately twelve million payment protection insurance polices were sold to people who took out loans and credit cards in the U. K. According to the findings of published by the Competition Commission, the vast majority of the policies were bought at the same time as the loan or credit card was issued. Many individuals purchasing a policy were either completely unaware of the fact that they could get it at substantially lower costs from other providers, or had it mis-sold to them in one way or another. It was even quietly slipped into some clients’ loan-agreements without their knowledge or consent. Because of the questionable sales practices the were involved, a high number of PPI claims that were filed with the Financial Ombudsman have been successful.

There is a category of insurance that you may be paying for and not even know that you are. Kind of makes it hard to file a claim. Oh, you say, I know about all insurance policies I hold. Do you? Do you know that Payment Protection Insurance, under a variety of names, is included in the vast majority of loan, mortgage, financing (car loans, major appliances, and etcetera), overdraft and line of credit contracts? If not, this is your chance to learn a bit about Payment or Credit Protection Insurance.

Oh, credit. What may seem like the magical fix to all of the financial woes one may suffer is often just the beginning of a host of problems. A card is not free money – you can not just swipe it and be gifted with wealth. This is when the problems start: your bill arrives in the mail and the free money isn’t so free anymore. You have to frantically find a way to pay and you are stuck. This is how many start debt. This is avoidable however, if you learn about credit. Find the problems in choosing a card, what effects a credit score, how to use the card sensible, interest rates and more.