Welcome Financial Services Limited is in Default

2nd March 2011

Customers of Welcome Financial Services Limited (WFSL) may be entitled to receive compensation from the Financial Services Compensation Scheme (FSCS) in relation to advice on or the  arranging of payment protection insurance (PPI) by the firm on or after 14 January 2005. The FSCS does not cover claims for compensation in relation to PPI business conducted prior to that date.

The FSCS has declared WFSL in default. This is because the firm is unable, or likely to be unable, to pay claims against it in relation to PPI. WFSL sold a substantial number of PPI policies to its customers, and a declaration of default opens the way for those customers, and any others who might have valid claims against the firm that are protected by the FSCS, to make a claim.

The FSCS will now be responsible for PPI claims against WFSL. To assist in its handling of claims, the FSCS has arranged to use WFSL’s claims handling resources. However, the FSCS will remain responsible for all decisions on claims, which will be made in accordance with FSCS rules, and will closely oversee and monitor all steps in the handling of claims. This arrangement will enable claims to be processed more quickly and efficiently.

How to make a claim for compensation

The FSCS will be making arrangements to contact all policyholders who were sold PPI by WFSL on or after 14 January 2005, and will work as quickly as possible to process any claims received.

If you do not want to wait for an application form to be sent to you, you should contact WFSL’s customer services team on 0845 373 0386 or write to them at Welcome Finance, P O Box 10950, Sandringham House, Harlow, CM20 9JF. Alternatively, you can contact the FSCS customer services team on 0800 678 1100 or 0207 741 4100 to ask for an application form to be sent to you to make a claim for compensation.

If you have previously submitted a complaint to WFSL relating to a PPI policy that  was sold to you on or after 14 January 2005, and you are awaiting a response, you do not need to do anything more. We will send you an application form.

How long will claims take to process?

WFSL will work as quickly as possible to process claims for the FSCS. We will keep claimants informed of the progress of claims.