FOS Decision - Help Needed

essexal

I took our two secured loans with the above companies in Oct 2003 (Welcome) and 2002 (Paragon - via Dial 4 a loan.co.uk)....i am now trying to reclaim the PPI's back and am just slightly confused.

I totally understand that Welcome were not regulated until 2005 by the FSA so how do i stand with that ? Additionally Paragon told me to go via the broker who was Dial 4 a loan.co.uk who according to other blogs on this site were bought out by Welcome Finance!

The total amount of PPI with Welcome is £872 (on a £4k loan over 10 years), and with Paragon/Dial 4 a loan is £4040 (on a £26k loan over 15 years), my argument on mis-selling being i was not told at the point of sale i could get cheaper insurance by paying a simple monthly premium to a different insurance company, additionally none of this is covered with the insurance/loan agreements which i still have.

I originally used Ratio Money for my claims but i have found out they are either in or will be imminently going into administration so i have now employed another company to act on my behalf.... I received a full and final response back from Welcome stating they were not regulated by the FSA at the time the loan was signed and that i enjoyed the benefits of the insurance, even though i paid off both loans early. With regards Paragon/Dial 4 a loan i have received nothing, and these loans are coming up for 6 years after settlement within the next few months so i am very concerned whether i will now get any money back.

Can someone please advise -thanks muchly !

Alastair

dunstonh

my argument on mis-selling being i was not told at the point of sale i could get cheaper insurance by paying a simple monthly premium to a different insurance company

You need to be aware that tied representatives do not need to make you aware of cheaper alternatives. Their remit is to sell their own product, thats all. So, asking them to do something outside of their remit will result in a rejection.

However, if they sold single premium rather than monthly, then that it the angle of attack you should take.

I originally used Ratio Money for my claims but i have found out they are either in or will be imminently going into administration so i have now employed another company to act on my behalf.... I received a full and final response back from Welcome stating they were not regulated by the FSA at the time the loan was signed and that i enjoyed the benefits of the insurance, even though i paid off both loans early

Ratio money have gone. Was that response more than 6 months ago?

essexal

Thanks for the reply, both premiums were sold as single premiums rather than monthly, one states it in the agreement the other doesnt state it anywhere. Surely as a client you should be offered both choices - single or monthly premium ? So for me i was mis-sold

And Ratio's website went down today and states they are in administration.

Thanks again for your response