Episode 4

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0:00:02 > 0:00:06We asked you to tell us who's left you feeling ripped-off.

0:00:06 > 0:00:09I think this is very, very, very wrong.

0:00:09 > 0:00:13The bank passed charges upon charges upon charges.

0:00:13 > 0:00:18Legally, it was right. Morally? That's where the doubt comes.

0:00:18 > 0:00:22And you contacted us in your thousands, by post, email,

0:00:22 > 0:00:28even stopping us in the streets. And the message couldn't be clearer.

0:00:28 > 0:00:31You don't always get a straight answer.

0:00:31 > 0:00:36- I'm not happy at all. - It's always that small print that has the clause in.

0:00:36 > 0:00:40- We're being ripped off big time. - Whether it's a deliberate rip-off,

0:00:40 > 0:00:46a simple mistake or a catch in the small print, we'll find out why you're out of pocket

0:00:46 > 0:00:51- and what you can do about it. - Keep asking the questions.

0:00:51 > 0:00:53And we do get results.

0:00:53 > 0:00:57Your stories. Your money. This is Rip-Off Britain.

0:01:00 > 0:01:03Hello and welcome to Rip-Off Britain, where today,

0:01:03 > 0:01:06as always, we will be challenging the companies that you say

0:01:06 > 0:01:08have left you feeling short-changed.

0:01:08 > 0:01:12We are here to ask them the tough questions that sometimes you can't.

0:01:12 > 0:01:16But most of all, to make sure you are being treated the way you deserve.

0:01:16 > 0:01:21Absolutely, because these are tough times and who knows, maybe they are about to get worse.

0:01:21 > 0:01:25So you need to know that your cash is working hard for you,

0:01:25 > 0:01:28avoiding any suspect schemes or rip-offs along the way.

0:01:28 > 0:01:32When every penny counts, it really can be frustrating if you get

0:01:32 > 0:01:36caught out by a charge that you really didn't expect, we've all been there.

0:01:36 > 0:01:39And it doesn't have to be a huge amount. We know from your letters

0:01:39 > 0:01:42and e-mails that when you feel ripped off,

0:01:42 > 0:01:46sometimes it is not how much you have lost, it is the principle that matters.

0:01:46 > 0:01:50And that is very much the case with some of the stories we will be investigating today.

0:01:52 > 0:01:55Coming up: the locals livid that to get hold of their own money,

0:01:55 > 0:01:58the closest cash machines make them pay.

0:01:58 > 0:02:01In city centres you get free ones, but not around here.

0:02:01 > 0:02:05The more deprived area it is, the more they hike it up.

0:02:05 > 0:02:09The companies cashing in on a mis-selling scandal.

0:02:09 > 0:02:11I said to John, there's something wrong here.

0:02:11 > 0:02:15They shouldn't be panicking like this for this money.

0:02:15 > 0:02:19And more of your stories from our Rip-Off Britain one stop consumer advice shop.

0:02:24 > 0:02:29One issue that you contacted us about in droves last year was

0:02:29 > 0:02:31the soaring cost of car insurance.

0:02:31 > 0:02:35But it is young drivers who are being hit hardest.

0:02:35 > 0:02:37When you hear exactly how much some of them

0:02:37 > 0:02:42have been asked to shell out, it is no wonder a whole generation feels

0:02:42 > 0:02:44they are being priced off the road.

0:02:47 > 0:02:50Passing his driving test was a milestone for Peter Nolan

0:02:50 > 0:02:52and his mother Julie.

0:02:52 > 0:02:56For the 17-year-old, it meant he was on the road to independence.

0:02:56 > 0:03:00When I passed my test, I was over the moon, I couldn't believe it, really.

0:03:00 > 0:03:03I thought it was great that I could finally go out

0:03:03 > 0:03:05and just drive wherever I wanted to go.

0:03:05 > 0:03:07I was overjoyed, I was thrilled to bits.

0:03:07 > 0:03:11I immediately texted all my friends, couldn't wait to get home

0:03:11 > 0:03:15and give him a big kiss and congratulate him, it was just fantastic.

0:03:15 > 0:03:20But their initial excitement faded as soon as they started

0:03:20 > 0:03:22looking into the cost of insurance.

0:03:22 > 0:03:28Some of them were £17,000, which at that point, you just think, "Oh, my God! What's going on?"

0:03:28 > 0:03:33Yes, you heard right, that's £17,000.

0:03:33 > 0:03:37Understandably, Julie looked elsewhere.

0:03:37 > 0:03:40She got a quote from her insurance company to see how much

0:03:40 > 0:03:45it would cost to simply add Peter to her own policy. But that wasn't cheap, either.

0:03:45 > 0:03:48I was insured at a good price, of 500-odd pounds.

0:03:48 > 0:03:51I rang up, asking to put my son on as another named driver.

0:03:51 > 0:03:54And the quote was £3,895.

0:03:56 > 0:04:00That would be a whopping increase of £3,375,

0:04:00 > 0:04:04an amount that would put a huge strain on their finances.

0:04:05 > 0:04:08It is not actually much less than my mortgage,

0:04:08 > 0:04:10it would stand at about 350 a month.

0:04:10 > 0:04:14And that is just so much, you know, on top of what you have

0:04:14 > 0:04:18already got, outgoing month after month, is just astronomical.

0:04:18 > 0:04:22So, Julie has not gone ahead with that quote.

0:04:22 > 0:04:25Peter may have passed his test, but he is still not on the road.

0:04:25 > 0:04:29Not without a lift from his mother, anyway.

0:04:29 > 0:04:33The fact my mates can drive and I can't at the moment, it's, like,

0:04:33 > 0:04:36you can go out with your mates, but it's not the same,

0:04:36 > 0:04:40you just want to be behind the steering wheel and just drive yourself.

0:04:40 > 0:04:45Of course, Peter is just one of countless young drivers

0:04:45 > 0:04:47facing exactly the same problem.

0:04:47 > 0:04:52They've had the lessons, however much you have to pay for them, and they just can't drive, can they?

0:04:52 > 0:04:55And that's all they want to do, just drive.

0:04:56 > 0:04:59Just down the road, Peter's friend Rhys

0:04:59 > 0:05:02and his mother Joanne also struggled to find a quote they could afford.

0:05:02 > 0:05:07When we started looking at quotes, I was really shocked at the prices.

0:05:07 > 0:05:10The dearest one was, I think, £20,000.

0:05:10 > 0:05:15And I think the cheapest one was £2,000 plus.

0:05:15 > 0:05:19Luckily for them, Rhys's father is in the motor trade

0:05:19 > 0:05:23and he got a more reasonable quote through his trader policy.

0:05:23 > 0:05:27I think that worked out at £860,

0:05:27 > 0:05:29which is still an awful lot of money,

0:05:29 > 0:05:33you know, the car is not really worth that.

0:05:33 > 0:05:38Another friend, Chase, also feels priced out of the insurance market.

0:05:38 > 0:05:39How are you doing, then, Chase?

0:05:39 > 0:05:42What are you going to do with your insurance?

0:05:42 > 0:05:45I think I'm just going to have to go on my mum's insurance, to make it cheaper.

0:05:45 > 0:05:48On my own, it's just stupid money. About 10 grand for myself.

0:05:50 > 0:05:53Quotes like these are typical for teenage drivers.

0:05:53 > 0:05:57Insurance companies say it is because statistics show

0:05:57 > 0:06:02that young drivers have more accidents, as Simon Douglas from the AA explains.

0:06:02 > 0:06:05When they do have an accident, they do tend to be more serious.

0:06:05 > 0:06:10The average claim cost for a young driver is something like £5,000

0:06:10 > 0:06:14or more, whereas for an older driver, it is probably under £2,000.

0:06:14 > 0:06:18Even so, in recent years, what young drivers are being asked to pay

0:06:18 > 0:06:22has been made worse by a problem that affects drivers of all ages.

0:06:22 > 0:06:25And that is the surge in personal injury claims and payouts

0:06:25 > 0:06:30that the industry blames for pushing up premiums for everyone.

0:06:30 > 0:06:33Across the country, the number of personal injury claims has rocketed

0:06:33 > 0:06:37at a time when the number of road accidents has gone down.

0:06:37 > 0:06:41Many say that is because the so-called compensation culture

0:06:41 > 0:06:43is encouraging people to make claims

0:06:43 > 0:06:46whether they have been seriously injured or not.

0:06:46 > 0:06:49And a whole industry has sprung up to encourage that.

0:06:49 > 0:06:53Claims management companies and even some insurers can earn

0:06:53 > 0:06:56huge referral fees by selling on the details of people

0:06:56 > 0:06:59involved in accidents to no-win, no-fee lawyers,

0:06:59 > 0:07:06who can typically make around £1,350 for themselves on a whiplash settlement.

0:07:06 > 0:07:10The Government has promised to ban these referral fees,

0:07:10 > 0:07:14possibly even this year. We will have to wait and see if that makes any difference

0:07:14 > 0:07:18to what we pay for insurance. But until then,

0:07:18 > 0:07:21is there any way drivers can bring their premiums down?

0:07:21 > 0:07:25One thing you might consider is these new insurance products, "pay how you drive",

0:07:25 > 0:07:28where they fit a device in the car that measures how you drive

0:07:28 > 0:07:31as an individual, and they give you a premium

0:07:31 > 0:07:35based on your own driving behaviours, not the average for your peer group.

0:07:35 > 0:07:40If you are willing to be measured in this way, it can bring the cost of insurance down significantly.

0:07:40 > 0:07:45In the meantime, the families of the younger drivers we met have been left wondering

0:07:45 > 0:07:49if there was any point in getting them lessons at this age.

0:07:49 > 0:07:52I just don't know where we are going to go with it, I just feel...

0:07:52 > 0:07:55I am gutted for him, just gutted.

0:07:55 > 0:07:58Might as well just let him wait to get a job and hopefully

0:07:58 > 0:08:04when he is 24, 25, it might be slightly cheaper, then that's that.

0:08:07 > 0:08:11Big companies don't always make things easy to understand

0:08:11 > 0:08:16and it can be confusing trying to work out why you haven't ended up with what you expected.

0:08:16 > 0:08:21So if you feel bogged down, we've put together a booklet of tips and advice.

0:08:21 > 0:08:28You can find a link to the free guide on our website.

0:08:28 > 0:08:31Or to receive a copy in the post,

0:08:31 > 0:08:37send an A5 self-addressed envelope to the address we give at the end.

0:08:39 > 0:08:43A convenience that most of us just take for granted these days

0:08:43 > 0:08:47is cash machines, giving us access to our money, 24/7.

0:08:47 > 0:08:51But if you need cash urgently from one of them,

0:08:51 > 0:08:56then paying for the privilege is becoming increasingly hard to avoid.

0:09:01 > 0:09:06Round the country, there are now more than 21,000 cash machines

0:09:06 > 0:09:11that charge to withdraw our own money. Add together the amount made by all of those charges

0:09:11 > 0:09:16and you are easily looking at at least £130 million a year.

0:09:18 > 0:09:22In poorer areas around the UK, like Anfield

0:09:22 > 0:09:26and Toxteth in Liverpool, free to use bank cash machines

0:09:26 > 0:09:30have virtually disappeared, leaving locals no choice

0:09:30 > 0:09:32but to use ones that charge.

0:09:32 > 0:09:37Figures worked out by the Liverpool Echo show just how bad things are.

0:09:37 > 0:09:41Nationally, 34% of cash machines charge.

0:09:41 > 0:09:45But in Toxteth, it is a staggering 81%.

0:09:45 > 0:09:49In nearby Anfield, it is not much better, 71%.

0:09:50 > 0:09:53City centres, you get free ones, but not round here.

0:09:53 > 0:09:56The more deprived area it is, the more they hike it up.

0:09:56 > 0:10:00To have to walk a good 15 to 20 minutes to get to the nearest

0:10:00 > 0:10:03cash machine, not to pay, is frustrating.

0:10:03 > 0:10:05At times, I've had to pay.

0:10:06 > 0:10:10We sent one of our Rip-Off Britain researchers to get some cash out

0:10:10 > 0:10:14in Anfield, starting from the stadium itself.

0:10:14 > 0:10:17The closest two machines both charged.

0:10:17 > 0:10:21£1.70 for the first one and a minute down the road,

0:10:21 > 0:10:24£1.75 for the second.

0:10:24 > 0:10:28The third machine she reached also charged, but that was out of order.

0:10:28 > 0:10:33And though there were ATMs in shops and bars along the route,

0:10:33 > 0:10:35none of them were free either.

0:10:37 > 0:10:39But wait, she's spotted one!

0:10:39 > 0:10:42More than 20 minutes of high speed walking later,

0:10:42 > 0:10:47she has reached a junction, with two free cash machines.

0:10:49 > 0:10:53Finally, she's got her hands on her money without having to pay any extra to get it.

0:10:53 > 0:10:59Local councillor Paula Keaveney knows all about the issue.

0:10:59 > 0:11:01It is a tax on poverty.

0:11:01 > 0:11:06If you look at areas of deprivation where people are on low incomes,

0:11:06 > 0:11:08and they are having to pay to get their own money out,

0:11:08 > 0:11:10all that is happening is that

0:11:10 > 0:11:12the problems are being made worse that they face.

0:11:12 > 0:11:17So we talked to the banks, talked to government ministers, to try

0:11:17 > 0:11:22and get recognition that this is a problem that the banks need to solve.

0:11:23 > 0:11:25And the charges look set to get worse.

0:11:25 > 0:11:29Last August, the Royal Bank of Scotland and Lloyds TSB

0:11:29 > 0:11:34announced that customers with their "basic" bank accounts will soon

0:11:34 > 0:11:37no longer be able to use the cash points of all other banks for free,

0:11:37 > 0:11:41because, they say, they make a loss by letting them do that.

0:11:41 > 0:11:45They say almost all affected customers will still be able

0:11:45 > 0:11:48to withdraw cash free within one mile of their home,

0:11:48 > 0:11:52but the government-appointed watchdog Consumer Focus doesn't agree.

0:11:52 > 0:11:56What we are concerned about is that basic bank account customers

0:11:56 > 0:11:59will have to pay more money to access their money.

0:11:59 > 0:12:03These are the consumers that after all, have basic bank accounts

0:12:03 > 0:12:09because they have the least money. So why are the poorest consumers paying more to access their money?

0:12:09 > 0:12:12It is compulsory for all fee-charging cash machines

0:12:12 > 0:12:15to display an early warning to customers,

0:12:15 > 0:12:20either an on-screen message or a sticker on the machine itself.

0:12:20 > 0:12:24If you want to avoid paying fees, do keep in mind that a lot of banks,

0:12:24 > 0:12:28including the Royal Bank of Scotland and Lloyds TSB, do allow customers

0:12:28 > 0:12:33to take cash out over-the-counter at the Post Office for free.

0:12:33 > 0:12:39Remember also that cash points outside banks or building societies usually don't charge.

0:12:39 > 0:12:44While machines operated by companies such as Cardpoint, YourCash

0:12:44 > 0:12:47and NoteMachine normally will have a fee.

0:12:47 > 0:12:49And if you are stuck,

0:12:49 > 0:12:53try and get cashback in those shops or bars that offer the service.

0:12:53 > 0:12:56Or, use a debit card instead of cash.

0:12:56 > 0:13:01We went to Link, the company that runs the cash machine network,

0:13:01 > 0:13:04to find out why there should be any charge at all

0:13:04 > 0:13:06for getting out your own cash.

0:13:06 > 0:13:09What do you say to the people who simply say you are cashing in?

0:13:09 > 0:13:13Whatever way you look at it, you are just cashing in on people

0:13:13 > 0:13:16running out of money, or being in an inconvenient spot.

0:13:16 > 0:13:17How do you address that?

0:13:17 > 0:13:18We try hard to make sure

0:13:18 > 0:13:22we do not have that situation. So, we have got

0:13:22 > 0:13:27a very broad and large free to use ATM network in the UK.

0:13:27 > 0:13:31We do think there is a case for allowing pay to use machines

0:13:31 > 0:13:34where there is consumer demand and it is a matter of convenience.

0:13:34 > 0:13:39What can people do if they feel they do not want to walk 45 minutes to a free machine,

0:13:39 > 0:13:47or they are on the bread line and they have to go somewhere else to get a free machine on principle?

0:13:47 > 0:13:49There should not be any deprived areas in the UK

0:13:49 > 0:13:52which do not have a free to use ATM.

0:13:52 > 0:13:56If there are, then we are working with consumer organisations

0:13:56 > 0:13:57to identify those...

0:13:57 > 0:14:00Can an individual write and say, I represent this community

0:14:00 > 0:14:04and there is no free machine, what are you going to do about it?

0:14:04 > 0:14:08The Link website is there, asking for that information

0:14:08 > 0:14:12with our address on, and absolutely we would welcome that and look at it.

0:14:12 > 0:14:15- Thank you very much indeed. - My pleasure.

0:14:15 > 0:14:19And after our interview, there was a very positive development.

0:14:19 > 0:14:23Link told us that as a result of our investigation,

0:14:23 > 0:14:27they will now be contacting local councillors, MPs and media

0:14:27 > 0:14:31in the parts of Liverpool that we highlighted, so they can identify

0:14:31 > 0:14:35suitable locations where they can put additional free to use ATMs.

0:14:39 > 0:14:41We are here in Manchester,

0:14:41 > 0:14:46where Rip-Off Britain have opened their very first pop-up shop.

0:14:46 > 0:14:49It's been a weekend of consumer advice from our team of experts,

0:14:49 > 0:14:55and BBC Learning have been helping people of all ages improve their maths skill.

0:14:55 > 0:14:57One area of our shop that has been particularly busy

0:14:57 > 0:15:02is the video booth we set up for people to record their gripes.

0:15:02 > 0:15:07The biggest cause of complaints we have heard is car insurance.

0:15:07 > 0:15:12To insure him on a 1.1 Vauxhall Corsa is going to cost in excess of £5,000.

0:15:12 > 0:15:15We have been quoted £4,000.

0:15:15 > 0:15:19It had gone up from £750 to just over £1,000.

0:15:19 > 0:15:23I had to pay £2,000 just to insure it, what a rip-off!

0:15:25 > 0:15:30Another common insurance bugbear is the automatic renewal of policies.

0:15:30 > 0:15:35Les popped in after he realised that the automatic renewal quote

0:15:35 > 0:15:38on his home insurance was £150 more expensive

0:15:38 > 0:15:43than the same cover for new customers.

0:15:43 > 0:15:48When I checked on the website, there was a huge difference in the price,

0:15:48 > 0:15:53so I rang the company to ask them why, and there was nothing. The cover was exactly the same.

0:15:53 > 0:15:56If you do go online, as you did, and shop around,

0:15:56 > 0:16:00not just with your existing insurer, go onto a comparison site

0:16:00 > 0:16:03and look and see what you could get in the rest of the market,

0:16:03 > 0:16:06you will find you can probably save hundreds of pounds each year

0:16:06 > 0:16:11on your car and home insurance. Just phone your existing insurer and say, "I've had a look around,

0:16:11 > 0:16:15"I realise I could get the same policy for £100 cheaper,

0:16:15 > 0:16:20"will you give me my same cover back for £100 cheaper?" And they will often just say yes.

0:16:20 > 0:16:25You really do just have to be prepared to shop around every year, there is no reward for loyalty.

0:16:25 > 0:16:29- Stay alert!- Absolutely.- Thank you for coming in.- You're welcome.

0:16:32 > 0:16:38Payment Protection Insurance or PPI has been one of the big consumer scandals of recent years.

0:16:38 > 0:16:45It was supposed to cover repayments on credit cards and loans if you lost your job or were unable to pay,

0:16:45 > 0:16:51but it turns out almost 6.5 million policies were mis-sold to people who could never make a claim.

0:16:51 > 0:16:57As a result, there are no end of companies promising they can get you your PPI payments back,

0:16:57 > 0:17:01but, as ever, some are better than others.

0:17:02 > 0:17:04Come on, boys.

0:17:04 > 0:17:08John and Carol Henry have had a really tough time over the last couple of years.

0:17:08 > 0:17:13Carol was made redundant and John had to leave his job for health reasons.

0:17:13 > 0:17:18With neither of them working, their finances were put under huge pressure.

0:17:18 > 0:17:21We couldn't pay our bills or our mortgage.

0:17:21 > 0:17:28We couldn't pay the loans that we had, we couldn't pay our credit cards. We were in a real mess.

0:17:28 > 0:17:32While he had still been working, John had taken out three loans.

0:17:32 > 0:17:36Each time, he bought payment protection insurance to go with them

0:17:36 > 0:17:39to cover his repayments if he became unable to pay.

0:17:39 > 0:17:44- How much was it on this one?- On this loan alone, it's £2,420.- Yeah.

0:17:44 > 0:17:47The cost of that wasn't small change.

0:17:47 > 0:17:52In total, I have paid over £5,000 in PPI insurance,

0:17:52 > 0:17:57which, if I hadn't done, could have paid off one of my loans.

0:17:58 > 0:18:03After paying out so much, you can see why in autumn 2010,

0:18:03 > 0:18:07when they became aware of the PPI mis-selling scandal,

0:18:07 > 0:18:12John and Carol started to wonder if they had been mis-sold their insurance as well

0:18:12 > 0:18:16and if perhaps they'd be entitled to some of that money back.

0:18:16 > 0:18:22It dawned on me that John hadn't been asked enough questions about him taking out the PPI.

0:18:22 > 0:18:26I think at the time he did take it out with the loans,

0:18:26 > 0:18:29he felt very pressured into signing the forms

0:18:29 > 0:18:32because he needed this insurance,

0:18:32 > 0:18:36but I really don't believe, when we've discussed it,

0:18:36 > 0:18:42that he had actually been truly informed as to what it really meant.

0:18:42 > 0:18:48John contacted his creditors who assured him that he had not been mis-sold his PPI,

0:18:48 > 0:18:52but a few weeks later, he received a call right out of the blue

0:18:52 > 0:18:56from a company called Claims Management Bureau who said the opposite.

0:18:56 > 0:19:00They insisted that he was entitled to compensation

0:19:00 > 0:19:03and made some bold claims about just how much.

0:19:04 > 0:19:10They informed him that he was actually entitled to a minimum of £1,500 rebate

0:19:10 > 0:19:15on the PPI insurance that he had paid. That was the minimum he could expect.

0:19:15 > 0:19:19I informed them that I had already contacted my creditors

0:19:19 > 0:19:22and they told me that I hadn't been mis-sold it

0:19:22 > 0:19:24and he insisted.

0:19:24 > 0:19:30He said, "Yes, you are entitled to this. It's in the government guidelines."

0:19:30 > 0:19:36They were very persistent in their methods of saying that I was entitled to this money

0:19:36 > 0:19:38and that I should proceed.

0:19:38 > 0:19:42In our financial situation, I felt we had to go for it.

0:19:42 > 0:19:46Persuaded they were due some cash after all, John signed up,

0:19:46 > 0:19:52agreeing to pay Claims Management Bureau an initial up-front fee of £234,

0:19:52 > 0:19:55so that they could process his claim.

0:19:55 > 0:20:00They said they were a time-effective, honest and reliable service.

0:20:00 > 0:20:06That was music to your ears and you felt you could go along with that, you could trust them.

0:20:06 > 0:20:10The couple didn't have the money straight away and told the company

0:20:10 > 0:20:14it would take seven days to transfer it to them.

0:20:14 > 0:20:21Every day without fail, they rang. "Is the money in the account yet? Is the money in the account yet?"

0:20:21 > 0:20:26I said to John, "There's something wrong. They shouldn't be panicking for this money."

0:20:26 > 0:20:32But the couple paid up and signed all the forms, at which point things went rather quiet.

0:20:32 > 0:20:38After two months had gone by and they'd heard nothing, John called the Claims Management Bureau

0:20:38 > 0:20:40to find out what was going on.

0:20:40 > 0:20:46He got somebody on the phone who said to him, "Don't worry, it's all being dealt with.

0:20:46 > 0:20:48"It's all being processed."

0:20:48 > 0:20:54We got Christmas over, then I said, "John, you still haven't heard anything from these people.

0:20:54 > 0:20:56"There's something not right here."

0:20:56 > 0:20:59So he rang them.

0:20:59 > 0:21:02The phone rang out and rang out - no answer.

0:21:02 > 0:21:04- The phone's dead.- Yeah.

0:21:04 > 0:21:10In February 2011 with still no word, John contacted Trading Standards.

0:21:10 > 0:21:15On their advice, he wrote to the company and sent the letter by recorded delivery.

0:21:15 > 0:21:19It was signed for, but he heard nothing back.

0:21:19 > 0:21:23Two weeks later, he sent another letter which was returned.

0:21:23 > 0:21:27It had been opened by the Post Office, sent back to us,

0:21:27 > 0:21:31informing us that the company was no longer at that address.

0:21:31 > 0:21:37I then decided to contact the Police Fraud Squad and gave them all the details of the company.

0:21:37 > 0:21:41The police said that they couldn't really help without more complaints,

0:21:41 > 0:21:44but we've done some investigations of our own.

0:21:44 > 0:21:49We got in touch with the Ministry of Justice, who regulate claims companies of this type.

0:21:49 > 0:21:54They told us that the Claims Management Bureau is not authorised by them,

0:21:54 > 0:21:58which means the company was trading illegally.

0:21:58 > 0:22:03What that means for the £234 that John and Carol have paid is unclear.

0:22:03 > 0:22:07They have now contacted the Financial Ombudsman Service,

0:22:07 > 0:22:10to determine once and for all whether they were mis-sold PPI.

0:22:10 > 0:22:13The Ombudsman Service offers this check for free,

0:22:13 > 0:22:17so it really should be the first port of call for anyone wondering

0:22:17 > 0:22:21if they may be entitled to claim back any payments.

0:22:21 > 0:22:26We tried to get hold of the Claims Management Bureau for an explanation.

0:22:26 > 0:22:29As yet, we've had no response.

0:22:31 > 0:22:35Now, Britain's railway network used to be the envy of the world,

0:22:35 > 0:22:39but nowadays it seems to make headlines for all the wrong reasons.

0:22:45 > 0:22:49Images of steam trains take us back to an age of opulence,

0:22:49 > 0:22:54bustling platforms and a time when travel was a luxury.

0:22:54 > 0:22:57Britain invented the railways, but the modern rail network

0:22:57 > 0:23:02faces accusations that it's become more profiteering than pioneering.

0:23:02 > 0:23:071.4 billion train journeys were made in the UK over the last year.

0:23:07 > 0:23:11But passengers are becoming increasingly worried about the cost,

0:23:11 > 0:23:14especially after last month's price rises,

0:23:14 > 0:23:19when fares increased by an average of 3% above inflation.

0:23:19 > 0:23:25Quite a blow when UK rail travellers already pay 20% more for their journeys

0:23:25 > 0:23:28than passengers in Europe. Do you take the train?

0:23:28 > 0:23:31- I drive if I can. - Yeah, I would prefer to drive.

0:23:31 > 0:23:34Even with the price of petrol and diesel,

0:23:34 > 0:23:39I still think it's cheaper than taking the train.

0:23:39 > 0:23:44I will be standing for my half an hour journey home now, so I don't even get a seat.

0:23:44 > 0:23:49One such commuter is Rosie Fluin, who lives in York with her husband and young daughter.

0:23:49 > 0:23:54Three times a week, she makes the 20-minute train journey into Leeds.

0:23:54 > 0:23:58I travel to Leeds for work. I commute from York to Leeds

0:23:58 > 0:24:01because I work for Leeds City Council three days a week.

0:24:01 > 0:24:06I prefer to take the train because it's more environmentally friendly, more convenient and quicker.

0:24:06 > 0:24:09It's just more expensive.

0:24:09 > 0:24:16It costs me £14.30 a day, which is £42.90 a week,

0:24:16 > 0:24:19which is nearly the cost of a weekly season ticket.

0:24:19 > 0:24:23Rosie earns £920 a month at the council,

0:24:23 > 0:24:27so even before the latest hikes in rail fares,

0:24:27 > 0:24:31they were taking 20% of her salary.

0:24:31 > 0:24:35What it's going to mean for me is I may have to stop working,

0:24:35 > 0:24:40or I may have to stop working in Leeds and try and get a job closer to home,

0:24:40 > 0:24:42because I just can't absorb the costs any more.

0:24:42 > 0:24:45I haven't had a pay rise for two or three years

0:24:45 > 0:24:50and it's just getting to the point where I can't afford to go to work.

0:24:50 > 0:24:54Rosie doesn't want to move from York as her daughter has started nursery.

0:24:54 > 0:24:57# Train arrives... #

0:24:57 > 0:25:02Plus, it's a good area for schools and her husband works locally.

0:25:02 > 0:25:06But Rosie says jobs in York are few and far between

0:25:06 > 0:25:09and for her, Leeds offers better prospects.

0:25:09 > 0:25:13I go to work cos I want to contribute to the family,

0:25:13 > 0:25:16I want to provide for my family

0:25:16 > 0:25:19and I want to also provide a good example to my daughter.

0:25:19 > 0:25:25I don't want to not work. I want her to see both her parents working and that it's a good thing to do.

0:25:25 > 0:25:29So, is there any hope for people like Rosie who say

0:25:29 > 0:25:32they simply can't afford to travel by train?

0:25:32 > 0:25:36The Association of Train Operating Companies blames rising ticket prices

0:25:36 > 0:25:39on the fact that the Government wants to reduce

0:25:39 > 0:25:42the amount of taxpayers' money going into the railways,

0:25:42 > 0:25:45meaning tough decisions on fares have to be made

0:25:45 > 0:25:50to guarantee ongoing investment in more trains, faster services

0:25:50 > 0:25:52and better stations.

0:25:52 > 0:25:56We also asked the Transport Minister, Theresa Villiers,

0:25:56 > 0:25:59to see if she could see an end to the rise in rail fares.

0:25:59 > 0:26:03A question she appeared to find tricky to answer.

0:26:03 > 0:26:10I have asked you in a number of ways whether your phrase about bringing down the cost of the railways

0:26:10 > 0:26:14would actually result in fares falling,

0:26:14 > 0:26:17and you've not really been able to say the answer is yes,

0:26:17 > 0:26:20and that is really the thing that people want to hear.

0:26:20 > 0:26:22We believe we could get to a point

0:26:22 > 0:26:25where fares would go up just by inflation,

0:26:25 > 0:26:28so they would stay steady in real terms.

0:26:28 > 0:26:34Now, whether it will be possible to go further and reduce fares is not something I can say at the moment.

0:26:34 > 0:26:38But I am determined that the cost of the railways will come down,

0:26:38 > 0:26:44and that passengers will take a share in those savings, so we can deliver better value for money.

0:26:45 > 0:26:47Baffled by your bills?

0:26:47 > 0:26:52I thought, "This cannot be true. It's totally unacceptable." I was so angry!

0:26:52 > 0:26:55Trying to wade through never-ending small print

0:26:55 > 0:26:57that leaves you totally confused?

0:26:57 > 0:27:00I might have been stupid for not reading it,

0:27:00 > 0:27:02or I've read it and not took it in.

0:27:02 > 0:27:05I could kick myself, I really could.

0:27:05 > 0:27:11You can write to us:

0:27:14 > 0:27:20Or send an e-mail:

0:27:21 > 0:27:26The Rip-Off team is always looking for the stories that matter to you.

0:27:26 > 0:27:29I think you'll agree it's obvious from the experiences we have heard

0:27:29 > 0:27:32today that quite understandably, most of us

0:27:32 > 0:27:34want to know exactly where our money is going.

0:27:34 > 0:27:37So when that is not clear, always do your research

0:27:37 > 0:27:40and never be afraid to ask questions.

0:27:40 > 0:27:45It's what we do on this programme, because it can seem that everyone is after your money.

0:27:45 > 0:27:49So you have to protect it and you can never do too much research

0:27:49 > 0:27:52or price comparison when you are being asked to hand over your cash.

0:27:52 > 0:27:57Not least because you just might discover another company who will give you a better deal.

0:27:57 > 0:28:00That's always a good thing. That's it for today, but join us next time,

0:28:00 > 0:28:04when we will be looking into more of your stories and seeing if we can sort them out.

0:28:04 > 0:28:08- Until then, from all the team here, bye.- Bye-bye.- Bye-bye.