Lloyds Banking Group is the first bank to stop selling Payment Protection Insurance (PPI) to customers that borrow money.  

PPI is designed to cover the monthly payments if the policy holder becomes ill or is made redundant.

The term PPI is also used to describe other policies that you can buy separately to protect your debt repayments - but these are more properly called accident, sickness and unemployment (ASU) policies or income protection.

In May 2009 the Financial Services Authority (FSA) called on all firms to stop selling the insurance now because of "ongoing concerns" with sales.

Single premium Payment Protection Insurance (PPI) will be banned officially from October 2010.

This new directive from the bank will apply to customers of all its brands including the Halifax, Bank of Scotland and the Cheltenham & Gloucester.

The Financial Ombudsman Service (FOS) has said that last year 30% of the complaints they looked at were about PPI.

Do you feel you have been mis-sold PPI and don't know where to start?

If so then you have two options, either enter a claim yourself or employ a firm of solicitors to do this for you.

We can help you with both. 

More information can be found here at the DebtWizard guide to Payment Protection Insurance (PPI).