How to complain about Card Protection Plan (CPP)

On 15 November 2012, the Financial Conduct Authority (FCA) fined the company Card Protection Plan (CPP) for the widespread mis-selling of identity theft insurance and card protection plans.

The policies were believed to have been mis-sold to 7 million people and a £1.3 billion compensation fund has been set up. 

CPP compensation closed

The CPP Compensation Scheme has closed. Any claims made after 28th February 2015 will most likely be unsuccessful.

But, in some cases you may still be able to make a claim.

  • Did your policy cover a period before January 2005?
  • Did your policy come from a company other than CPP?
  • Or do you feel you were left out of the redress scheme and shouldn’t have been?

If you answer yes to any of these you can use our advice to find out if you’re able to make a claim.

The CPP redress scheme 

Following an agreement with the Financial Conduct Authority and 13 high street banks and credit issuers, CPP will be offering compensation to its policyholders who were mis-sold its products.

The scheme is open to customers who bought or renewed a Card Protection Product or Identity Protection after 14th January 2005 from CPP, or a bank or card issuer participating in the scheme. 

However, if you bought your policy after January 2011, you probably are not entitled to compensation, as CPP redesigned the product and how it was sold. 

You may  not necessarily know that you have a policy through CPP. 

You may have been contacted by CPP directly, but it's more likely that you were referred to CPP by your bank.

Find out more if you're eligible for compensation in our guide to what to do if you've been mis-sold identity theft insurance.

CPP letters and claim forms

Following approval of the scheme by CPP’s customers and the High Court, CPP has written to policyholders, asking whether they would like to be considered for compensation. 

If you receive a letter, you need to complete and sign the claim form, and return it to CPP. If you don't return this form, you will lose the right to compensation, and continue paying for your insurance product.

CPP has issued two types of claim forms - one for ID theft insurance and one for card protection insurance

Compensation forms must be returned by 30th August 2014, with the first compensation payments made from late March 2014.

The compensation you're entitled to will be the amount you've paid for the policy since January 14th 2005, minus any money paid out by the policy, plus 8% interest. 

If you haven't received a letter yet, or you make any mistakes on your form, contact the scheme team on 08000 83 43 93 to receive another one. 

CPP claim forms pointers

If you have received a CPP claim form, do remember to reply by the deadline of 30th August 2014. 

If you do claim, remember that your policy will be cancelled. 

Remember, if you don't fill out the form and send it back, you won't receive any money, and the policy will automatically renew. 

Card protection through CPP costs around £30 a year, and ID fraud protection costs around £80 a year, so it's worth thinking about whether you want your policy to continue. 

You will already be covered for some of the services that the CPP policy offers by your bank or credit card company. 

For example, if your card is lost or stolen and racks up unauthorised transactions, you are already covered by your bank. 

You can also get copies of your credit report yourself for just £2.00. 

If you had policies with more than one bank, you will need to fill out claim forms for all policies, in order to receive any compensation. 

You will also need to fill out separate forms if you have taken out an identity theft policy and credit card protection. 

Summary

  • You may not necessarily know that you have a policy through CPP. You may have been contacted by CPP directly, but it's more likely that you were referred to CPP by your bank
  • Compensation forms must be returned by 30th August 2014. Remember, if you don't fill out the form and send it back, you won't receive any money and the policy will automatically renew
  • You will need to send the original completed form back in the pre-paid envelope provided and fill out different statement as to why you believe you have been mis-sold

 

How to fill in your CPP claim form

The claim form must be completed in black ink and you should use capital letters only. 

Send the original completed form back in the pre-paid envelope provided and remember that photocopies will not be accepted. 

The form will include small white boxes to fill in with the circumstances you find the most fitting as to why you believe you were mis-sold. 

You only need one reason to apply for compensation. 

The letter will give you example reasons and you can just  pick one that most closely fits your circumstances, and cut and paste it into the box provided. 

Below are some statements you can lift and use for your form, taken from the sample letter CPP sent. 

"The policy said it would cover me for £100,000 worth of unauthorised transactions that occur after I inform CPP that a card is lost or stolen. But I did not need this element of the product's cover because the bank or card issuer was responsible for any transactions after my cards have been reported lost or stolen."

"The policy said it covered me for up to £5,000 worth of unauthorised transactions that occur before I inform CPP that a card is lost or stolen. But I would only be liable for unauthorised transactions in limited circumstances, as my bank or card issuer would usually cover me for anything over the first £50 of these transactions."

You can also put down other reasons you were mis-sold either policy - such as you were given misleading or unclear information; the sales staff sold you a policy even after you said you didn't want it, or they told you that you could cancel the policy after you bought it. 

Policy premiums paid pre-2005

For CPP premiums paid pre-2005, you need to complain directly to your credit card company or bank. 

Use our template letter to claim redress on a mis-sold credit card insurance policy

If your claim is rejected, take a look at our guide for  mis-sold insurance policies that are not part of the CPP redress scheme

Please tell us what you think of the Which? Consumer Rights website.

Your feedback is vital in helping us improve this site. All data will be treated confidentially. This survey will take approximately 5 minutes to complete.

Please take our survey so we can improve our website for you and others like you.