Consumers who feel they have been mis-sold payment protection insurance (PPI) have been offered a new means to redress the problem.PPI is often offered alongside unsecured loans in order to protect against the possibility that a borrower becomes unable to repay.However, the process by which polices are sold has come under scrutiny in recent months and consumer campaign group Which? is launching a new service as a result.The online tool allows borrowers to enter the name of their provider and answer questions about why they think their policy was mis-sold, before creating a letter that can be sent to the company.Which? has noted that PPI could add between £2,000 and £3,000 on to the cost of an unsecured loan worth £7,500 over five years, while policies covering credit cards may only apply to the minimum payment amount.The company recently suggested that income protection is a better option for those with unsecured loans, as it also covers mortgages and other debts.
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