Can I clain back PPI if I'm going to pay off loan early?

fayp

Hi all,

I am in 3 months arrears (due to financial difficulty) with my barclay loan and when I tried to cancel my PPI last week I was told that I would have to apply for a new loan without the PPI. I did this but was turned down becasue of the arrears.
I am now in a position to pay the loan off (borrowing from family instead). Will I be able to claim any of the PPI back?
Thanks for any advice

marshallka

When you tried to cancel the insurance did you mention misselling it then? Is it actually that you want to claim it back for being missold or because it is no longer of any use?

fayp

When I got the loan I knew that it had PPI on it but stupidly thought I'd be able to cancel it easily once the loan was in place. It wasn't until after the loan had been set up and I tried to cancel it that I found out that I would have to apply for a new loan so I didn't do anything about it.
If I pay off the loan now am I entitled to get anything back from the PPI?
Are they allowed to make it so difficult to cancel the insurance?

marshallka

fayp wrote: »

When I got the loan I knew that it had PPI on it but stupidly thought I'd be able to cancel it easily once the loan was in place. It wasn't until after the loan had been set up and I tried to cancel it that I found out that I would have to apply for a new loan so I didn't do anything about it.
If I pay off the loan now am I entitled to get anything back from the PPI?
Are they allowed to make it so difficult to cancel the insurance?

So are you saying you actually agreed to it being on the loan? ALso there is usually a 30 day cancellation period? Would you say it was missold to you? If you agreed and it was longer than 30 days since you asked for it to be cancelled then they are correct in that a new loan agreement would need to be set up.