Just about to send my letter... just need some quick advice

rich_months

Hi all, hope someone here can help with my PPI claim. I'm about to send off the letter and want to check that I have included everything.

I have read Martin's help guide.

In October 2007 was told in a bank branch for my personal loan that I had to take out the PPI cover (I initially didn't sign the PPI cover box, but after scan reading it the person in the branch said I had to sign it).

So that's the main basis of my claim.

On Martin's guide, I'm confused about single premium policies. This one appears to be, as it has three separate columns (loan, payment protection plan, total) and the cost of interest on each. So obviously I'm paying for the PPI upfront. Both the loan agreement and PPI agreement are on the same page, no separate agreements for either.

Martin talks about how new and existing customers should benefit from its agreement with the providers, but then goes on to say....

Further note for existing customers

If you still have a single premium policy you can’t make a reclaim under this section

So I'm confused whether I should mention it or not

Finally, I have read elsewhere that "The lender should also have explained to you the full cost of the policy, and how your monthly repayments without insurance would be affected by adding insurance to the loan or credit card agreement."

I was giving only an agreement with insurance added. Should I have been given one showing the total cost without insurance?

Sorry if these are common/obvious question, I just want to make sure I have it nailed in my first letter! :T

maxdp

rich_months wrote: »

Hi all, hope someone here can help with my PPI claim. I'm about to send off the letter and want to check that I have included everything.

I have read Martin's help guide.

In October 2007 was told in a bank branch for my personal loan that I had to take out the PPI cover (I initially didn't sign the PPI cover box, but after scan reading it the person in the branch said I had to sign it).

So that's the main basis of my claim.

On Martin's guide, I'm confused about single premium policies. This one appears to be, as it has three separate columns (loan, payment protection plan, total) and the cost of interest on each. So obviously I'm paying for the PPI upfront. Both the loan agreement and PPI agreement are on the same page, no separate agreements for either.

Martin talks about how new and existing customers should benefit from its agreement with the providers, but then goes on to say....



So I'm confused whether I should mention it or not

Finally, I have read elsewhere that "The lender should also have explained to you the full cost of the policy, and how your monthly repayments without insurance would be affected by adding insurance to the loan or credit card agreement."

I was giving only an agreement with insurance added. Should I have been given one showing the total cost without insurance?

Sorry if these are common/obvious question, I just want to make sure I have it nailed in my first letter! :T

Hi There it sounds as if this was a front loaded PPI Policy so it is basically two loans one for the amount you want to borrow plus interest the other for the PPI plus interest. If that is the case that is a reason to go for miss selling as you couuld have bought a stand alone PPI which is a lot cheaper and when you cancel it you do not have to refinance the loan. Secondly they told you that you had to sign for the PPI so that is a second reason you could say it was miss sold. I would give it a go. Let us know how you get on.

pinknico

Yes mention that it was a single premium policy (these have now been banned)

You should not have been made to take out PPI and you should have been given the details of what the loan would be without PPI and with PPI and then been allowed to make a choice.

di3004

Hi there

You go for it and keep at them, if they do not resolve in your favour by the first response then write back again, basically until you receive the final response, the final letter should also give you details of the financial ombudsman service (FOS), so if your not satisfied with the outcome of your complaint, you can take yours to them and they will be on your side if this was a single policy, however there are lots of reasons for mis selling, I note you have checked out the PPI guidelines by now, so if any of the other reasons also occur to you, as well as being sold a Single premium policy add them in your letter as well.

Good luck and please keep us posted.;)

rich_months

So, after pretty much giving it the whole eight weeks, my bank wrote back to me today. They, as I probably expected, ignored the main thrust of my arguments and just argued that:

• I applied for the loan with PPI
• They recommend PPI as circumstances can change over the period of the loan, but that it is optional and is always offered on that basis
• I signed a separate box on the agreement form to confirm that I wanted PPI
• They sent me a loan agreement that showed separately the amount of PPI that was being added to the loan
• At the same time, I received an insurance certificate that stated I had 30 days to cancel if I wished
• I have the right to cancel outside the statutory period and give a partial refund

They have stated that "based on my investigations, we are satisfied that your complaint is not justified. However, if you wish to cancel the insurance now, please confirm this in writing, and you will receive a partial refund of the remaining insurance premium", and they have rather cheekily included an 'acceptance form' so I can tick a box either saying I can agree to an (extremely) partial refund or that I agree with their decision. Presumably so I waive my rights to complain again in the future.

The letter is finished by stating that if I remain dissatisfied I can refer my complaint to the Financial Ombudsman. Should I write back to them or go straight to the Ombudsman? (Bearing in mind I sent the original letter on the 3rd August and they only got back to me today). Is it worth doing just to show the Ombudsman that you have exhausted their complaints process?

To be honest, it's a copy and paste letter. They have only produced general arguments and not addressed any of my particular circumstances that I wrote about in my letter.

Thanks for the continued advice all!

rich_months

On rereading the last paragraph, I think I've made my mind up to go straight to the Ombudsman (emphasis mine).

I trust my letter resolves these matters for you and you may regard this letter as our final response. If you remain dissatisfied, you may refer your complaint to the Financial Ombudsman Service. You must do this within six months from the date of this letter. Further information can be found in the enclosed leaflet.

di3004

rich_months wrote: »

On rereading the last paragraph, I think I've made my mind up to go straight to the Ombudsman (emphasis mine).

I trust my letter resolves these matters for you and you may regard this letter as our final response. If you remain dissatisfied, you may refer your complaint to the Financial Ombudsman Service. You must do this within six months from the date of this letter. Further information can be found in the enclosed leaflet.

Hi Rich

Hope your well.;)

Yes I agree, I think by taking this to the FOS now will be the right decision.

It seems they have sent you the basic standard response, and I'm sure the FOS will see through this.

Good luck and please keep us posted.

Cheers
Di

di3004

Rich, was meant to post you the link to the FOS website just now on my above post, not to worry, here it is below, you can download and print the complaints form from their website, or ring them to arrange for the FOS to post you one through the post, remember as well to enclose copies of correspondence with the form and anything you have to send for evidence.
Good luck.;)
http://www.financial-ombudsman.org.uk/consumer/complaints.htm

When you have completed the form, take a photocopy so you can keep one for yourself and if you want to send a copy to the bank, to also make them aware that you have now gone the FOS route.

finatra26

hi rich months - which bank is you your claim with as they all have their little ways & if you say the name the people who have already have dealings with the particular organisation usually have excellent advice

di3004

finatra26 wrote: »

hi rich months - which bank is you your claim with as they all have their little ways & if you say the name the people who have already have dealings with the particular organisation usually have excellent advice

lol I was about to post back again to ask that as well Finatra, good one:T, yes that is right Rich, for example, one of mine was Lloyds, a total nightmare, but getting there.;)

rich_months

It's the Co-Operative bank. I've done some searches of the forum here and it doesn't look like there are many tales on here about them.