credit card insurance

hulagirl79

Hi
I am not sure if i am posting in the right area so feel free to move me.
Sorry for the spelling mistake

My mum took out a credit card in 2005 [first one she has ever had] she opted to have the insurance with it. Every month she paid off her balance in full, then in january 2007 she was diagnosed with cancer, she carried on using the card as she was still working and paying all her bills including her c/c.

Then in december 2007 she went on permerant sick leave[ as she was just to ill to carry on working], she sorted out her financies [ phoning up the c/c insurance people who have been paying the c/c bill, they agreed that she was covered and paid off a certain amount every month]. She has not used the card for over a year now.

Well yesterday she got a letter from them saying that this month is the last payment they are paying and that the amount left she has to pay herself.

Well she is very worried about this as she is on sick pay from work and when she has paid everything she has about £50 left for the month for food etc.
The bill total is about £230 left she has called them and they have said she has to pay it and they wont help.

Is there anything we can do.

Thanks sorry if this is a little long.

jonesMUFCforever

Which bank is it?
Some banks policy is to clear the balance as at date of claim after 12 months.
If the worse comes to the worst they should clear the balance as a death benefit but if your mother has continued to spend I don't think she will be covered for this.

I really really hope that life cover won't be needed! Good luck.

hulagirl79

Hi thanks for your reply
The card is from nationwide and she has not used it since november 07 when she realised she would not be able to carry on working.
She contacted the company in January and everything was arranged then [they said she was covered and they would pay the card off, never at any point did they say they would not cover the balance. They phone her every month and every month she sends them her sick note thingy]

jonesMUFCforever

You need to get a copy of the benefits of the policy.If not on the back of the monthly statement phone them up for a copy.

ICan'tStandIt

Many PPI claims have a maximum period with which a lender will make payments for the customer.

If this period is now coming to an end, ask them to consider a fixed payment arrangement instead. They'll probably ask for a list of income and expenditure and an offer of a monthly payment to be sent in.

Send this in and see what happens. It's very likely that they will accept a reasonable payment if it's between 1 and 2% of the outstanding balance. They should also waive/reduce the interest as well and will review every six months or so.

Also explain your mother's condition as it will make them more sympathetic.

I really hope you get something sorted out.