Egg Card Payment Protector charge

arambol

I've noticed that Egg Card have been charging me Payment Protection sometimes as much as £60 a month.

I always make a point of not taking out Payment Protection and so I wrote to them and asked when I had agreed to take out this insurance.

They said it was agreed "over the phone".

I asked for a copy of a policy/ confirmation letter and they continue to say it was done by me "over the phone".

Ok, I hold my hands up and will say that I should have checked my statements more carefully but I have a sneaky feeling they added the cover without my permission.

Anyone had any experience of this?

arambol

I might add that when I called Egg to cancel the cover they said they'd send out a confirmation letter in a few days......

......so surely they should be able to produce a copy of my confirmation letter for taking out the cover in the first place??

benf90

Unless things have recently changed you'll get 2 letters from them. The first can come anytime within the 30 days' notice period that you have to give them, this just explains they're going to cancel it and tries to get you to keep it.

The 2nd comes after the date of cancellation (30 days after you gave them the notice). This is the confirmation that it's been cancelled.

How long has it been on your account? If it was done over the phone then put in a complaint to get the call listened to. Not all calls are recorded though.

You may have to ask for the complaint to be escalated to the Customer Relations Office if it's been on a while or it's a large amount in total, which I guess it will be as you've said "as much as £60 a month".

One thing you maybe need to take a look at is if you've only been making the minimum payments then the balance is almost certain to be the same, if not more, than when the cover was applied to your account.

When payment protection is on an account the minimum payment will usually only cover the interest + any charges + payment protection charges. This is because these things almost always add up to more than the usual 2.5% of the balance.