HSBC Loan PPI Claim

joncow75

Hi, I hope someone can help me with my potential claim. I've had many laons with HSBC in the past, and i have taken payment insurance on each occasion as I thought that this was a requirement either through my own inexperiance at the time or the suggestion from the member of staff in branch. While moving house I found the paperwork for a loan from October 2003. The loan was for £6,500 across a 4 year period. The payment insurance was for £1002.60 that went with it. There is actually a print out statement in the file from when this was done showing a payment of £7500 going into my account and a debit of £1002.60 for the insurance going out. I was never aware I could look elsewhere for this cover, nor where my options discussed. I have fired off a letter to HSBC asking for my money back, and information on all other loans I had with them.

After sending them off, I later had a look again at the statement which shows 2 payments going out to HSBC Life ac ouple of days before. It reminded me that I had both life insurance and a payment protection policy with HSBC at the time. Surely this would of meant I had no need for PPI on my loan? Am I right in thinking this, and therefore have I been sold something that is no use to me? Any thoughts would be appreciated. I would of paid this loan of early and probably had some of the money back, but do people on here think I have a claim on the rest? I haven't seen many posts on HSBC loans and they don't appear in the top firms passed to the FOS, nor have they been prosecuted so not sure if I do have a case

Many thanks

di3004

joncow75 wrote: »

Hi, I hope someone can help me with my potential claim. I've had many laons with HSBC in the past, and i have taken payment insurance on each occasion as I thought that this was a requirement either through my own inexperiance at the time or the suggestion from the member of staff in branch. While moving house I found the paperwork for a loan from October 2003. The loan was for £6,500 across a 4 year period. The payment insurance was for £1002.60 that went with it. There is actually a print out statement in the file from when this was done showing a payment of £7500 going into my account and a debit of £1002.60 for the insurance going out. I was never aware I could look elsewhere for this cover, nor where my options discussed. I have fired off a letter to HSBC asking for my money back, and information on all other loans I had with them.

After sending them off, I later had a look again at the statement which shows 2 payments going out to HSBC Life ac ouple of days before. It reminded me that I had both life insurance and a payment protection policy with HSBC at the time. Surely this would of meant I had no need for PPI on my loan? Am I right in thinking this, and therefore have I been sold something that is no use to me? Any thoughts would be appreciated. I would of paid this loan of early and probably had some of the money back, but do people on here think I have a claim on the rest? I haven't seen many posts on HSBC loans and they don't appear in the top firms passed to the FOS, nor have they been prosecuted so not sure if I do have a case

Many thanks

Hi there

Wishing you luck on this.

Yes there have actually been many who have complained against this bank.

I think you have good reason to complain and reclaim, especially if already protected.
I can't see why you should have further life insurance if you already have this, so yes you can say its possible its worthless to you.

And of course there are stand alone protection which can be purchased separately to cover for sickness and unemployment etc, you will find more details on the above Red box "Insurance" top of page. This is often far cheaper than the the banks add in.

Have you also check Martin's information below as well, I understand you have already wrote to reclaim, but if you have not come across this info yet, its very useful.
http://www.moneysavingexpert.com/reclaim/ppi-loan-insurance

Keep at them, and good luck, please let us know how you get on, cheers.;)

joncow75

Hi Di3004,

Many thanks for the quick reply. I feel better knowing that what I wrote seems correct, and you understand it, lol. Bank charge re-claims were much easier than the PPI as it's pretty hard to prove how something was sold, however realising I already had cover makes me more determined to get back my money from a worthless insurance policy. Why did I pay for something twice? TBH there is a third HSBC Life payment on the statement which I widh I'd noticed back in 2003 rather then 2 years later that turned out to be my ex wifes payment protection, that HSBC decided to move from our joint account into mine. I paid it for 2 years without realising. Was a nice way to save £1k I suppose! They really are a terrible bank, long gone are the days of the Midland Bank I opened my account with, who couldn't do more for customers!

di3004

joncow75 wrote: »

Hi Di3004,

Many thanks for the quick reply. I feel better knowing that what I wrote seems correct, and you understand it, lol. Bank charge re-claims were much easier than the PPI as it's pretty hard to prove how something was sold, however realising I already had cover makes me more determined to get back my money from a worthless insurance policy. Why did I pay for something twice? TBH there is a third HSBC Life payment on the statement which I widh I'd noticed back in 2003 rather then 2 years later that turned out to be my ex wifes payment protection, that HSBC decided to move from our joint account into mine. I paid it for 2 years without realising. Was a nice way to save £1k I suppose! They really are a terrible bank, long gone are the days of the Midland Bank I opened my account with, who couldn't do more for customers!

Your very welcome.;)

Now its time to get your money back.
I'm sure with many of us they used to automatically add the PPI, no questions asked, "just sign here", and if sold in the branch, it was a matter of "we have now been through everything, if you agree just sign" not even given the chance to read anything.
However on some agreements it have been known that they tick or cross the insurance part of it themselves, this could have easily been done afterwards after the signing, who knows but it does seem to be the case for many.

I used to think the insurance was all part of the loan, all on one then.
With not ever being told any different.
So again I expect this have been the case for many over the years.

Keep at them anyway, you will get there.
If you hear nothing at all from them by the 8 weeks they have, your entitled to take your complaint to the FOS.

Hope you hear soon with a positive outcome.:beer:

beth3735

I have claimed for 2 loans with Lloyds due to the circumstances that I was already covered due to being in the Navy, If I was ill and off work the Navy would of still paid full pay so there was just no need for this extra cover.

Lloyds upheld my complaint within the 4 weeks and agreed that I didnt need this extra cover.
Now im just waiting for figures.

I wish you luck in your complaint and im sure you will win this x

joncow75

Good to hear Beth!

I've just been into an HSBC branch and been given 4 more loans, although they couldn't tell me if I had taken PPI against these. At least it makes things easier for me to go back to HSBC with

I'll let you know how I get on

joncow75

Spoke to HSBC life and managed to get my policy number and dates of cover. It was definately in place for 2 of the loans so drafted another letter with my original details and the second loan number (no amount so asking them to confirm what the PPI was) asking for all my PPI cover back

joncow75

This is the letter I have prepared to go tomorrow:

HSBC Bank
8 Canada Square
London
E14 5HQ

Dear Sir or Madam,

Account number: XXXXXX XXXXXXXX 20/8/04

I purchased the above loan from you in the date listed above with loan protection but now believe that I was mis-sold this policy for the following

• This is due to the fact that I paid a single premium for my policy but did not see it through to the end of it’s initial term after paying back my loan earlier than planned.
• I had an income protection policy with HSBC Life at the time, and life protection through HSBC life so had enough cover for this loans extra insurance therefore not relevant – I was never asked about this cover despite the fact it was through HSBC - Policy XXXXXXX

Also

• it was not explained I could use another source of insurance with this loan

Unless you can satisfactorily justify to me that the policy was fair and reasonable I am requesting a full refund of all premiums – although I am unsure of what this amount would be as I do not have copies of the original statement, and subsequent interest on these payments, that I have paid to date. As I believe I have been deprived of this money I also expect 8% statutory interest, the amount a court would award, to be added to each payment made. It may be possible that I did not have PPI on thIS loan, but HSBC could confirm this. I have also requested the return of £XXXX.XX against the loan XXXXXX XXXXXXX 21/10/03, however missed out the fact I had the HSBC life income protection cover in the initial letter

I look forward to a full and prompt response to this letter and for the matter to be concluded within eight weeks or I shall be contacting the Financial Ombudsman to investigate my complaint.

Yours faithfully


Does this fit the bill? I hope so, and can get this sent off in the morning. I'm hoping that I have a solid case - done my research as the my income protection ran from 2002-2006 covering both these loans, and therefore HSBC will be nice and pay me back quickly, lol. SOme chance

di3004

joncow75 wrote: »

This is the letter I have prepared to go tomorrow:

HSBC Bank
8 Canada Square
London
E14 5HQ

Dear Sir or Madam,

Account number: XXXXXX XXXXXXXX 20/8/04


I purchased the above loan from you in the date listed above with loan protection but now believe that I was mis-sold this policy for the following

• This is due to the fact that I paid a single premium for my policy but did not see it through to the end of it’s initial term after paying back my loan earlier than planned.
• I had an income protection policy with HSBC Life at the time, and life protection through HSBC life so had enough cover for this loans extra insurance therefore not relevant – I was never asked about this cover despite the fact it was through HSBC - Policy XXXXXXX

Also

• it was not explained I could use another source of insurance with this loan

Unless you can satisfactorily justify to me that the policy was fair and reasonable I am requesting a full refund of all premiums – although I am unsure of what this amount would be as I do not have copies of the original statement, and subsequent interest on these payments, that I have paid to date. As I believe I have been deprived of this money I also expect 8% statutory interest, the amount a court would award, to be added to each payment made. It may be possible that I did not have PPI on thIS loan, but HSBC could confirm this. I have also requested the return of £XXXX.XX against the loan XXXXXX XXXXXXX 21/10/03, however missed out the fact I had the HSBC life income protection cover in the initial letter

I look forward to a full and prompt response to this letter and for the matter to be concluded within eight weeks or I shall be contacting the Financial Ombudsman to investigate my complaint.

Yours faithfully


Does this fit the bill? I hope so, and can get this sent off in the morning. I'm hoping that I have a solid case - done my research as the my income protection ran from 2002-2006 covering both these loans, and therefore HSBC will be nice and pay me back quickly, lol. SOme chance

Brilliant :T:T:D, well done.;)
Now remember "recorded delivery post" as well, fingers crossed for you.
X:beer:

joncow75

Brilliant, thanks for that Di. Don't worry all will be sent recorded. Fingers crossed!!

felixmonster

Hi, I don't know if this helps, but I was in a very similar situation to you about 6 weeks ago. I paid £750 ppi on a £3000 loan with HSBC 8 years ago. I read about reclaiming missold payment protection on here so gave it a try (they never told me it was optional). The overall advice seemed to be to expect a rejection from the bank initially - then take it to the Financial Ombudsman, after which the bank may offer some or all of the PPI back.

I sent a letter very similar to the one you've created - got an acknowledgement saying it'd been receieved, and would take 6-8 weeks to investigate. I waited for my rejection, fully braced for the next steps... then last week the HSBC sent me a letter stating that they did not accept liability for what happened, but would I accept £1250 to settle the matter (£1250 being £750 paid plus 8 years interest at 8%) :j

Needless to say I snapped their hand off, returned the form they'd enclosed and the money was in my account 2 days later - What a great Xmas present from MoneySavingExpert and HSBC:D

So I guess I'm saying that this bank WILL PAY UP ! fingers crossed your claim will go as well as mine.