HSBC Loan - Does my hubby have a case?

Julesiep

My husband took out a loan in 2005. He didn't really understand PPI and felt pressurised to take it. In 2007 money became very tight due to an unplanned pregnancy. We decided to re look at our finances. I had read that people can get PPI else where and thought this was a good idea rather than paying each PPI on loans and credit cards at a high APR. Anyway in August 2007 (day unknown) my hubby rang HSBC about canceling the PPI but they said he could not just cancel and would need to reapply for the loan. However the APR rate offered was much higher and meant monthly repayments would be more!!! So he left it. Then things got even harder and he defaulted. Now he is paying a monthly repayment through a DMP with CCCS to Metropolitan (HSBC's in house DCA). Does he have a case and especially as he has now defaulted! Any advice much appreciated.

magpiecottage

PPI is a separate contract to the loan itself - so yes you can claim.

If successful, it is possible that the redress will be used to reduce the main debt rather than being passed to you but then you will clear it more quickly.

Julesiep

magpiecottage wrote: »

PPI is a separate contract to the loan itself - so yes you can claim.

If successful, it is possible that the redress will be used to reduce the main debt rather than being passed to you but then you will clear it more quickly.

Thanks for the reply. Does it matter that we don't know the exact date he rang them up?

Yeah I would put the money to the debt anyway. Although would I have to put it towards just that debt or divide it up. Maybe a question for the Debt free wannabe forum should he successful!