Payment Protection Cancelling

pwilki

Can anyone advise me please, i have a Barclay Loan which i have had for a couple of years now and want to cancel the payment protection payments to save some money.
When i contacted Barclays they said the loan would be paid off with a new loan without the payment protection but i would have to accept a new APR which was higher than my old loan and the monthly payments would be higher than my old loan including the payment protection. Is this legal as i feel this is a way of barclays getting more money out of me.
Any advise would be welcome
Thanks
pwilki

Rafter

pwilki,

It is legal - just not very fair. Barclays can argue that they are rescheduling your loan and that given the recession you are now a higher risk.

Is there any chance you can claim you were missold the insurance? Do you have a medical condition that might exclude you? Are you self employed? Did the bank worker who sold you the loan imply at any point that the insurance was compulsory to secure the loan or rate?

If so not only can you stop paying PPI going forward, but you can get a refund of the charges, plus interest that you have paid in the last 2 years.

Good luck

R.

pwilki

Thanks for replying R iam a type 2 diabetic but i dont think that is counted, the loan was arranged over the phone and from what i remember the sales person was not insistant but did push the PPI