As technology expands, there are vast opportunities for it to increase the capabilities within every aspect of our lives. Here we are going to look at what the Payment Protection Insurance (PPI) scandal is and why technology can be used to prevent it.
What Was the PPI Scandal?
For many, the word PPI has become a regular occurrence. Whether this is in a TV advert or a letter through the door, there is no denying that you have heard it frequently over the last few years. But what is the PPI scandal? This scandal first came to light in the late 90’s as many people were discovering they had been wrongfully sold payment protection insurance (PPI). This then led to billions of pounds being used to cover the costs of people who claimed the money they were owed. However, with the deadline for all PPI claims (August 29th 2019) rapidly approaching, there is still the question of how this will be prevented from happening again.
When you are operating online, you will be in full control over every aspect of the application process when you make a PPI claim. As a result, there are a large number of transactions that have to be monitored. This will prevent further PPI scandals since you will be prevented from being mis-sold certain elements of insurances.
With banks now offering 24-hour video banking, this is the perfect solution to ensure that the PPI claim scandal is not repeated. The concept allows you to have a recorded conversation with your banker without having to leave the office or the comfort of your own home. This is hugely beneficial in helping to prevent the next PPI claim scandal since everything is done online and recorded to ensure that there are no hidden charges when applying for loans or other financial aid.
Many people believe that as this technology begins to develop, it will be used within 80% of banks. This has provided the optimal solution in helping to alleviate any future problems.
Online banking is also beneficial in preventing a repeat of the PPI claims scandal as everything is now recorded online. With options for alerts and every payment being labelled, you can rest assured that you will only be paying for things which have been authorised by yourself. This allows you to see all the expenditure coming out of your bank account and enables you to keep track certain payments with ease.
Mobile banking is also valuable in the prevention of another PPI claim as this allows the user to see all transactions as they come out of their bank account. This will allow you to have access to all direct debits set up to certain accounts and will ensure that you are aware of your current finances all the time.
With all this in mind, there are a number of ways that you can prevent another PPI claim. As technology continues to expand, there will be a number of other ways that another PPI claims scandal can be prevented. However, due to some of these technologies still being in the development stages, only time will tell as to how successful they will be.