PPI added to Lloyds loan when not requested

ladcastle1682

Hi,

My wife arranged a loan with Lloyds a year ago, which included PPI upon agreement over the phone. When we received the paperwork we did not tick the box to confirm PPI yet it was still added to the loan when we received the subsequent paperwork.

We tried challenging this with them and they told us that because the loan was a "buy now pay later" that they would need to re-do the application and that offer would no longer apply; effectively cancelling and starting again.

They said we could wait until the first payment was due (3 months in) and then call to re-do the application, however, we never did this and are still paying the PPI to this date, which is very high.

I should have done something about this at the time, I know, but what with various events from last year never did. I want to do something now though so I have a couple of questions:

1. Were Lloyds wrong to put PPI on our loan when we did not explicitly tick the box yet agreed to it being added over the phone?

2. I do not have any information from the phone call and my wife cannot remember what was said because it was a long time ago but can I try and reclaim the payments to date because of this error?

3. How would I go about describing this problem in one of your template letters and what would be the key points to make?

4. Can I also request Lloyds change the loan so that the PPI is taken off and none of this will affect my wifes credit rating as it was an error on their part?

5. Will not contacting Lloyds after 3 months of starting the loan, as they suggested, affect anything to do with this query. I am not going to lie and say they didn't suggest calling back in 3 months and I know this is what we should have done but I still feel they were in error to add PPI on.

Many thanks if anyone can help.

di3004

ladcastle1682 wrote: »

Hi,

My wife arranged a loan with Lloyds a year ago, which included PPI upon agreement over the phone. When we received the paperwork we did not tick the box to confirm PPI yet it was still added to the loan when we received the subsequent paperwork.

We tried challenging this with them and they told us that because the loan was a "buy now pay later" that they would need to re-do the application and that offer would no longer apply; effectively cancelling and starting again.

They said we could wait until the first payment was due (3 months in) and then call to re-do the application, however, we never did this and are still paying the PPI to this date, which is very high.

I should have done something about this at the time, I know, but what with various events from last year never did. I want to do something now though so I have a couple of questions:

1. Were Lloyds wrong to put PPI on our loan when we did not explicitly tick the box yet agreed to it being added over the phone?

2. I do not have any information from the phone call and my wife cannot remember what was said because it was a long time ago but can I try and reclaim the payments to date because of this error?

3. How would I go about describing this problem in one of your template letters and what would be the key points to make?

4. Can I also request Lloyds change the loan so that the PPI is taken off and none of this will affect my wifes credit rating as it was an error on their part?

5. Will not contacting Lloyds after 3 months of starting the loan, as they suggested, affect anything to do with this query. I am not going to lie and say they didn't suggest calling back in 3 months and I know this is what we should have done but I still feel they were in error to add PPI on.

Many thanks if anyone can help.

Hi there

Your answer to question 1 is, yes they were wrong to add this automatically without evening giving the option of this.

Regarding your 2nd question an SAR known as a Subject Access request could be sent to them to request all the information they have on the account, (I will post the SAR in another post not to confuse anything here.



Number 3:
On the template letter just add that your not happy with the way this was sold, it was a phone sale and when you realised afterwards the PPI was added without being given an option not to have this or not.
(this is a common tactic hun and if this went as far as the financial ombudsman service, they have to take this into account).;)

4.
Yes you can change the loan, this should not affect the credit rating or status.

5
I would not worry hun, this should not be a problem, there are many who have complaints about these and they have not had problems to what I know of.
I for one have had a few complaints and have not had any problems with dealing with matters with them.
You do what you should do hun, they should not have added the PPI without consent.

If you require further help, just give us a yell, I take it then you have already found the reclaim template for this?

They have 8 weeks to respond in full, and another letter maybe required, they do tend to give you the opportunity to write again with further information if unsuccessful in order for them to reconsider.

If still unsuccessful then take your complaint to the Financial Ombudsman service, where a leaflet of this should also be enclosed with the final response.

I will post the SAR (Subject access request) below.;)

As always post letters by recorded delivery in order to keep a check on the timescales they have and for your proof of posting.

Good luck
Di
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di3004

Hi there
As promised in my above post, here is a copy of the SAR request for all the information, please note though there is a £10 charge cheque or postal order payment for this and they have 40 days to comply, good luck.

SUBJECT ACCESS REQUEST

Dear

Re: Account number:

In the first part under the Data Protection Act 1998:

Under the Data Protection Act 1984 and 1998, and including the right of subject access under these acts, please supply me with a complete list of transactions and charges relating to the above accounts held with you since they were opened.

Additionally where there has been any event in my account history over this period which has required manual intervention by any member of your staff or any other person, I require disclosure of any indication or notes which have either caused or resulted in that manual intervention or other evidence of that manual intervention in relation to my business with you.

If you are unable to supply data relating to manual intervention because there has been no such manual intervention then please be kind as to confirm this in your response to this request.


For the avoidance of any and all doubt, I reiterate:

I hereby request that you supply me with any and all historical data in your possession which, in any way appertains to me, including (but not exhaustively) a copy of the original signed executed agreement; statements of account; duplicate statements and/or print outs of all account transactions; all internal and external correspondence sent or received by you including memo’s, logs, notes, screen prints and transcripts; notes of manual interventions such as telephone attendants' notes, copies of stored telephone conversations, internal and external emails; any other information held on any/all types of media in any relevant filing system (microfiche included).

If you have disclosed any information to a third party (with or without my express permission), will you please include details of this in your reply, along with notes of any legal action passed or pending (to include a true copy of default notices, court orders and the like).

Where any information that you provide includes any charges, for example returned payments, late payment fees, and so forth, would you please advise your breakdown of actual costs (liquidated damages) incurred for each charge, and the Term or Condition on which you rely upon to claim such a charge.


I also require that you forward, within the above mentioned time scale, a true copy of the Terms and Conditions that were in force at the time my account was opened, and any subsequent amendments to those Terms and Conditions.

I enclose the statutory maximum fee of £10.00 to access ALL data held by XXXXX about myself. You should be fully aware of your statutory obligations under the Data Protection Act and that any failure to comply with this request will involve a complaint to the ICO as well as potential legal action.

You have 40 days in which to comply with this request.

This communication has been sent Recorded Delivery so I can ensure compliance on these issues within the legislative timeframes.

Yours Sincerely

ladcastle1682

Many thanks for your reply.

I'm not sure whether they gave us the option to decline the PPI over the phone but they definitely did not honor us opting out of the PPI when we received the paperwork. After this, they said on the phone that they could not cancel the PPI without re-doing the entire loan, which I believe is also untrue and they should not have said that?

With regard to the SAR, can this request include multiple accounts if they are held by the same provider? For example, and credit card, loan and older credit card? Or would this cost £10 per account?

I am looking at older credit card statements now for different accounts and can see PPI payments on there too. I would not know if these were cases for mis-selling thought as I do not have the original paperwork.

Thanks again!

di3004

ladcastle1682 wrote: »

Many thanks for your reply.

I'm not sure whether they gave us the option to decline the PPI over the phone but they definitely did not honor us opting out of the PPI when we received the paperwork. After this, they said on the phone that they could not cancel the PPI without re-doing the entire loan, which I believe is also untrue and they should not have said that?

With regard to the SAR, can this request include multiple accounts if they are held by the same provider? For example, and credit card, loan and older credit card? Or would this cost £10 per account?

I am looking at older credit card statements now for different accounts and can see PPI payments on there too. I would not know if these were cases for mis-selling thought as I do not have the original paperwork.

Thanks again!

I agree with you hun and back you all the way, so keep it going.;)

If you have a loan, credit card etc with the same lender, that actual lender should supply all the info you have with them on all you have with them.;)


If you have a few companies to deal with and require the paperwork then you send separate SAR's, where they will also supply you with all info they have on you on that account(s).

When you get the paperwork through you should receive some useful info amongst it to help any of your cases.;)

I wish you luck and if you require further help, please just give us a shout.


Di
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