| PPI, or Payment Protection Insurance, is a type of | | | | means that you won't have to worry about how you |
| protective insurance cover that is offered with | | | | are going to make repayments on your debts - |
| different types of finance, such as credit cards, store | | | | instead, you can focus on getting yourself back on |
| cards, and loans. This cover is designed to cover | | | | your feet, or getting another job, whilst your insurance |
| repayments on your loan or card for a specified period | | | | cover takes care of your repayments. |
| of time in the event that you are unable to work and | | | | However, there are some things that you should |
| make repayments for a certain period due to sickness, | | | | remember about payment protection insurance cover. |
| accident, or redundancy. | | | | This includes: |
| This type of insurance can prove invaluable to | | | | - PPI is not suited to everyone that takes out finance - |
| borrowers, offering peace of mind and financial | | | | for example, if you are self employed there is little |
| protection in the event that you cannot keep up with | | | | point taking out a policy that protect you against |
| your loan and credit card repayments. Nobody knows | | | | redundancy because you will never be able to benefit |
| what fate has in store, and losing your job or finding | | | | from it |
| yourself unable to work for a while due to sickness or | | | | - PPI is not compulsory, although some lenders may |
| an accident can leave you financially crippled, which | | | | make it sound as though it is. It is an optional form of |
| can make keeping up with loan and credit card | | | | cover, and you should never feel forced to take it out |
| repayments impossible. Of course, if you do start | | | | if you do not wish to do so. |
| missing your repayments you face damaging your | | | | - You do not have to take PPI from your lender. You |
| credit as well as more severe action such as court | | | | can shop around, as the cost of cover can vary |
| proceedings - not to mention the added stress and | | | | widely from one provider to another. Therefore, if your |
| worry at an already difficult time. | | | | lender is offering a policy that seems quite pricey but |
| When you take out PPI your repayments will be | | | | you don't want to be without this cover make sure |
| covered for a set period, which will be specified in your | | | | you compare different policies before you make a |
| policy, if you cannot work and make your repayments | | | | decision. |
| through redundancy, sickness, or an accident. This | | | | |