Credit card holders can apply for compensation after being sold free security products

18 August 2015

creditcardsTwo million credit card holders are going to be able to make compensation claims, after being sold security products that were in fact, free.

There's £270 each up for grabs for customers from RBS, Lloyds, AIB banks, Barclays, Capital One, HSBC, Santander, Clydesdale Bank, Danske Bank, Tesco Personal Finance and The Co-operative Bank.

So what's the craic? Well, Affinion International Limited sold six different products, which were meant to offer protection if their card was nicked or subject to fraud. However, this was completely unnecessary because your bank would already reimburse you if your card gets reported lost or stolen, regarding unauthorised transactions above £50, once you've reported it.

Since customers may have been paying for this for five years, plus interest, that's a compo payment of £270 for your troubles. It looks like the first compensation payments will be doled out some time next month.

If you're eligible, you should receive a claim form within the next few weeks. You must return it no later than March 18th 2016.

When you get the form, fill it in, sign it and date it and return it in the envelope provided by AI Scheme Ltd. If you send a photocopy of it, it'll be rejected, so no mucking about it. This is a claim you can do yourself, so if you get any claims management companies sniffing around you, they're only after a cut, so bin all correspondence from them.

If you think that you've had one of the products, and haven't received a form, then ring the AI Scheme helpline on 0800 678 1930 (or if you're outside the UK, call +44 208 475 3103).

Claim as soon as you get the form and do not wait until the end of the seven month claim period, okay? Good.

TOPICS:   Banking   How To Guides   Credit Cards

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