There are a lot of articles and reports out there about PPI that may have you concerned. Some of these reports talk about people having and paying for PPI when they are unaware that they even have it. But finding out if you are one of these people is as easy as checking your paperwork.

PPI or payment protection insurance is an insurance product that is intended to protect the policy holder. In the event a policy holder is unable to cover monthly payments on a loan due to illness, accident, death or job loss, the insurance covers these costs. PPI claims are filed, and the policy is enacted.

PPI is completely voluntary. It is not right for everyone and not everyone wishes to carry it or pay for it. So it is important to know if you do have PPI on one of your loans and, if you do, what the cost is and what it covers. The simplest and most accurate way to find out is to check your credit agreement. PPI should be spelled out on the agreement as a separate cost. If you have been wrongfully charged for the insurance, you should seek legal aid.

PPI on credit cards is even easier to check. If you carry a credit card balance, the PPI charge shows up each month on your monthly statements.