Cut the cost – and increase what you get

Claims management companies can help people pursue compensation when they have fallen victims of mis-selling, but it comes at a cost. In contrast, the DIY route to making a claim is not only free, but also relatively simple.

Here are the main stages:

1Contact the relevant company

The company about which you have the complaint is the first port of call. Phone them or send an e-mail or letter, taking care to keep copies of any documents you send and details of the contact (such as who you spoke to and when).

Do this throughout the process - it could help your claim if you need to escalate it at a later date.

2Sit tight

Give the company eight weeks to respond to your complaint. If it doesn’t, contact them with a reminder of the legal requirement to provide an answer. If it still doesn’t reply, or if the response isn’t to your satisfaction, you should take your case further.

3Take action

The Financial Ombudsman Service mediates free of charge in complaints between financial services providers and consumers. If you haven’t had a satisfactory response to the complaint made directly to the company, contact the FOS on 0845 080 1800 or by e-mail [email protected]. Do this within six months of the eight-week deadline expiring.

4Make a case

Send the FOS any documentation supporting your original complaint, account and/or policy numbers and, where relevant, evidence backing up your dissatisfaction with the way the company handled your complaint. Your case should take around three months to resolve, but be prepared for a longer wait if it is complicated (particularly with the FOS currently handling a high volume of PPI complaints).

5If at first you don’t succeed...

You have a right to appeal if your complaint isn’t upheld. You could also try the small claims procedure in the sheriff court, although this will come with a cost. For more information, visit www.scotcourts.gov.uk.

JEFF SALWAY

Going to court is an option, but an expensive one