There are some things you need to think about before you allow a claims management company to handle your claim:
The company's staff may have no formal legal training or qualification, which would mean they can't start legal action on your behalf and take your case through the courts - they can only negotiate with the organisation you are claiming from. This may weaken your position, because your opponent will know they can take your case only so far. It could also delay your case if you get to the point where legal proceedings need to be started and your case has to be transferred to a solicitor.
The company may charge you a lot of money for their services. They sometimes charge a 'contingency fee' which means they will take a proportion of the compensation you win.
You have 14 days after you sign a contract with an authorised claims management company in which to cancel it. This is known as a 'cooling off' period. The idea is to give you some time to think about whether you really want to go ahead. If you cancel, you may be charged a cancellation fee but the fee must be reasonable.
You should be wary of dealing with anyone who:
uninvited, calls at your door, phones you or comes up to you in the street or visits you in hospital trying to persuade you to make a claim. This is called 'cold calling in person' and is banned under the new rules
tries pestering you into making a claim
offers you a cash advance on your compensation or something else to persuade you to make a claim
asks you to sign a contract or, for example, a loan agreement for after-the-event insurance, on your doorstep or in your home without giving you time to get advice on the content. Ask to look at it for a while before you sign. Show it to your local law centre, Citizens Advice Bureau or other advice agency and ask them to explain exactly what it's for and what costs it will and won't cover.
seems reluctant for you to delay signing a contract so you can get legal advice on the contents.
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