Becoming self-employed & reclaiming HSBC loan PPI?

lizzeena

Hello moneysavers,

I've been looking at lots of information on reclaiming PPI but most of it is aimed at people who were mis-sold policies and my case is slightly different.

I have been paying PPI on a HSBC graduate loan originating from 2006 (the payment for the PPI was included in the total amount of the loan) but since October last year my entire income has been earned through self-employment. Is it worth trying to reclaim PPI on the remainder of my loan since I would no longer be eligible to make a claim on it?

Thanks in advance for your thoughts on this!

magpiecottage

You MAY have a claim for misselling if it was not made clear to you at outset that adding the premium to the loan would mean paying interest on it until it the loan was repaid.

You would NOT have a claim for misselling simply because your circumstances changed but you are entitled to cancel the policy and receive a pro-rata refund less a reasonable fee.

di3004

lizzeena wrote: »

Hello moneysavers,

I've been looking at lots of information on reclaiming PPI but most of it is aimed at people who were mis-sold policies and my case is slightly different.

I have been paying PPI on a HSBC graduate loan originating from 2006 (the payment for the PPI was included in the total amount of the loan) but since October last year my entire income has been earned through self-employment. Is it worth trying to reclaim PPI on the remainder of my loan since I would no longer be eligible to make a claim on it?

Thanks in advance for your thoughts on this!

Hi there.;)

So I take then in your case you were not actually mis sold the PPI?
But want to request the remainder of what you paid since becoming self employed?
(just making sure I got this right):D lol.

However there are many reasons you can try to reclaim, check the link below just in case any of it applies to you.
http://www.moneysavingexpert.com/reclaim/ppi-loan-insurance

I would also check your policy because some are covered for self employment, banks vary with their policies from one to another.
If your not protected, then I don't think you you be paying out on something worthless to you where you would be paying out for something that does not protect you.
You can always then as well the same time request to cancel the insurance, if no longer needed.

Hope this gives you some idea.

Good luck.;)

marshallka

di3004 wrote: »

Hi there.;)

So I take then in your case you were not actually mis sold the PPI?
But want to request the remainder of what you paid since becoming self employed?
(just making sure I got this right):D lol.

However there are many reasons you can try to reclaim, check the link below just in case any of it applies to you.
http://www.moneysavingexpert.com/reclaim/ppi-loan-insurance

I would also check your policy because some are covered for self employment, banks vary with their policies from one to another.
If your not protected, then I don't think you you be paying out on something worthless to you where you would be paying out for something that does not protect you.
You can always then as well the same time request to cancel the insurance, if no longer needed.

Hope this gives you some idea.

Good luck.;)

If the PPI was usuable when you took the loan out though Di and the OP became self employed during the loan then I would think that it was up to the poster to actually inform the bank/insurance of a change in circumstances. Also sometimes the policy actually covers self employment too.

di3004

marshallka wrote: »

If the PPI was usuable when you took the loan out though Di and the OP became self employed during the loan then I would think that it was up to the poster to actually inform the bank/insurance of a change in circumstances. Also sometimes the policy actually covers self employment too.

Yes that's right, that's why I did post and mention to check the policy as some will cover for self employment.;)
And as Magpiecottage also says to cancel to the policy and receive a pro-rata refund less a reasonable fee, but not a case then for mis selling.