Sold Mortgage PPI by Financial Advisor

stevbm · 20 May 2012 at 7:15PM

dunstonh wrote: »

In post #1 you have said value of the house. Then value of the mortgage. In post #5 you say it is the cost of the monthly payments.

So, lets say your house was £120k and your mortgage £30k and monthly payments £250pm. MPPI can only cover the £250pm. It cannot be set up to the value of the house or the amount borrowed. Life assurance and critical illness cover can go to the value of the house or amount borrowed.

magpiecottage wrote: »

This does not sound right. Colonial Life was taken over by Winterthur but the clue is in the name - Colonial LIFE.

It sound like a LIFE policy which would pay the balance of the mortgage if you died during the term.

It is possible it was a Critical Illness policy which did the same thing if you suffered a qualifying medical condition.

It is also possible that it was in fact a Permanent Health insurance which would pay an income if you were too ill to work.

However, the information you have given all indicates it was NOT a PPI policy.

Thanks both. I agree it was most likely an Illness or Health policy.