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  • FIRST POST
    • christine cook
    • By christine cook 1st Dec 17, 3:04 PM
    • 2Posts
    • 0Thanks
    christine cook
    PPI on our mortgage
    • #1
    • 1st Dec 17, 3:04 PM
    PPI on our mortgage 1st Dec 17 at 3:04 PM
    we had a mortgage with the Halifax from 1991 for 20 odd years and put a claim in for PPI.
    We had a letter today saying our complaint was now closed because their records don't show we took out a policy! We have no records to prove otherwise but the Halifax had made us pay for insurance despite me saying at the time, my husband was self employed and it wouldn't pay out if he lost his job! So I know we had something! They wouldn't have given us a mortgage n the first place surely, with no insurance to protect their loan of tens of thousands of pounds.?
    What do I do now? I don't have bank statements going back that far so I cant prove we had PPI- but we MUST have to have been given a loan!
Page 1
    • IAmWales
    • By IAmWales 1st Dec 17, 3:06 PM
    • 1,864 Posts
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    IAmWales
    • #2
    • 1st Dec 17, 3:06 PM
    • #2
    • 1st Dec 17, 3:06 PM
    We'll assume you submitted a complaint, not a claim.

    MPPI was not compulsory.

    If you claim you had it then you need to prove it.
    • zx81
    • By zx81 1st Dec 17, 3:07 PM
    • 14,403 Posts
    • 15,201 Thanks
    zx81
    • #3
    • 1st Dec 17, 3:07 PM
    • #3
    • 1st Dec 17, 3:07 PM
    If you don't have records and neither do they, then there's nothing you can do.

    On the bright side, PPI often did pay out to the self employed.
    • dunstonh
    • By dunstonh 1st Dec 17, 3:21 PM
    • 89,941 Posts
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    dunstonh
    • #4
    • 1st Dec 17, 3:21 PM
    • #4
    • 1st Dec 17, 3:21 PM
    We had a letter today saying our complaint was now closed because their records don't show we took out a policy!
    Halifax will only have records of policies they arranged. Most mortgages in the UK are not arranged by the lender but by mortgage advisers/brokers and they will arrange any insurances you have. Not the lender.


    We had a letter today saying our complaint was now closed because their records don't show we took out a policy! We have no records to prove otherwise but the Halifax had made us pay for insurance despite me saying at the time, my husband was self employed and it wouldn't pay out if he lost his job!
    Why do you think that MPPI wouldnt pay out? The vast majority of MPPI does cover the self employed.
    However, if you did say that at the time, why did you take it out?

    So I know we had something!
    Maybe you had life assurance. That is the dominant policy that people tend to have with mortgages.

    What do I do now? I don't have bank statements going back that far so I cant prove we had PPI- but we MUST have to have been given a loan!
    Most people who took out loans did not purchase PPI. Most mortgages did not have PPI. So, why do you think you "MUST" have had it?
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • christine cook
    • By christine cook 4th Dec 17, 9:02 PM
    • 2 Posts
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    christine cook
    • #5
    • 4th Dec 17, 9:02 PM
    Ppi
    • #5
    • 4th Dec 17, 9:02 PM
    I knew we were told we must have insurance because I distinctly remember asking if it would pay out as my hubby was self employed. The answer was not necessarily but no insurance, no loan! whats the difference then between PPI and that insurance ?
    • dunstonh
    • By dunstonh 4th Dec 17, 9:42 PM
    • 89,941 Posts
    • 56,643 Thanks
    dunstonh
    • #6
    • 4th Dec 17, 9:42 PM
    • #6
    • 4th Dec 17, 9:42 PM
    I knew we were told we must have insurance because I distinctly remember asking if it would pay out as my hubby was self employed. The answer was not necessarily
    It is possible for any insurance not to pay out in certain circumstances. For example, not having any work is not the same as being unemployed. You have to sign on. So, it can depend on the scenario. However, generically, its unusual to find an MPPI that does not cover self employed. That tends to be more of an issue on loan PPI and credit card PPI.
    whats the difference then between PPI and that insurance ?
    PPi stands for payment protection insurance. So, it only covers that type of plan. For mortgages, the most common insurances taken are life assurance and home insurance. There could also be income protection (also known as permanent health insurance) and critical illness cover. None of those things are PPI.

    Until the mid to late 90s, life assurance was a requirement by most lenders. In the 90s to early 2000s, there were a number of cross-subsidy deals where lenders required you to buy an insurance to get a discounted rate. Where the insurance was required as a condition of borrowing or terms of a deal, then that is allowed.

    Even today, you still see commercial borrowing often insist on insurance. Often life assurance on key workers or decision makers.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
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