Premium Credit Ltd - who is this?

tasticz

lozzam wrote: »

I'm sure they are reputable but they are a scary company. I bought Axa insurance - paying monthly so in effect using a credit agreement. I have had two mails since then asking me to register on line so I can manage my credit agreement. I've already set up the direct debit so what else do they want from me? Asking me to click links and set up online credit management makes then seem like spam....

they want you to register online so you can view your statements online change your details if anything changes, accept the direct debit and credit agreement online so there is no hassle for you to post it back by signing etc..

Runkle

Resurrecting this post again.


I have had my car insurance through ford insure for the past two years. Now on renewal, they inform me of a 'transfer of business' to Premium Credit.


I then received a letter from Premium Credit telling me that they have set up a credit agreement to make the repayments of my insurance. They also have all of my bank account details.


This sounds fine but I have never given my permission for my bank account details to be given to another company. Surely this is against the Data Protection Act?


Furthermore, on reading the info, they are setting up a credit agreement which gives me a credit limit of £1500 which I do not want to sign up for. I just want to pay for my car insurance which is less than a quarter of this amount for which I pay Direct Debit to Ford Insure.


Finally, in the letter it states that 'Under the terms of the new agreement we have the right to charge a fee of £10.00 if we have to remind you to provide a signed credit agreement'.


What nonsense is this? So under an agreement that I have not signed yet, they can charge me for not signing it???


Does anyone know where I stand legally if I don't sign this?
And have Ford Insure broken the law by giving out my bank account details without my permission?

InsideInsurance

Runkle wrote: »

I have had my care insurance through ford insure for the past two years.

Do you mean car insurance?

As per https://www.ford-insure.co.uk/docs/TOB_01112013.pdf you give permission for them to share your data including sensitive information.

Only if you accept the renewal quote then you also accept the additional terms and so the credit agreement come into force and thus the £10 fee be payable if you dont sign and return the documents.

If you decide to go to another insurer and inform Ford BEFORE the renewal date then the policy will not renew and you dont have to sign the credit agreement,

Runkle

InsideInsurance wrote: »

Do you mean car insurance?

Yes, typo fixed.


Also, thanks for the info in your reply.

hadleigh47

I have had a threatening letter from Premium Credit threatening all sorts of things. Worse than that I have never signed an agreement with them.
Any thoughts on this ? Seeing some comments about them, they seem to be a rather dodgy.

InsideInsurance

hadleigh47 wrote: »

I have had a threatening letter from Premium Credit threatening all sorts of things. Worse than that I have never signed an agreement with them.
Any thoughts on this ? Seeing some comments about them, they seem to be a rather dodgy.

Credit on insurance is fairly close to sub prime given the APRs they charge and due to the number of people that default payment - many seem to think stopping paying = cancelling a policy and so default rates are very high even with prime customers.

Prime and Sub Prime lenders typically are fairly different in their attitudes etc, prime know their customers have choice so have to be reasonably nice to win business. Sub Prime know their customers have less choice and so niceties are more optional

Being somewhere between the two the approach taken by many premium loan companies equally falls between the two.

dunstonh

hadleigh47 wrote: »

I have had a threatening letter from Premium Credit threatening all sorts of things. Worse than that I have never signed an agreement with them.
Any thoughts on this ? Seeing some comments about them, they seem to be a rather dodgy.

they are not dodgy. It is just that some people dont seem to realise they are borrowing money to pay their insurance and it is Premium credit that handle the credit. Not the insurer.

Think about what car or house insurance you have paid for monthly and chances are it applies to that. Especially if it is one that you cancelled mid term but didnt notify the insurer (ie only cancelled the direct debit)

Kirsty_891

lozzam wrote: »

I'm sure they are reputable but they are a scary company. I bought Axa insurance - paying monthly so in effect using a credit agreement. I have had two mails since then asking me to register on line so I can manage my credit agreement. I've already set up the direct debit so what else do they want from me? Asking me to click links and set up online credit management makes then seem like spam....

I have the exact same thing, but with Hastings van insurance. A direct debit has been set up with Hastings but we received an email from premium credit with a credit agreement and they have our bank details on it to set up a direct debit for £20... We've rang Hastings and they said that premium credit isn't anything to do with them. I'm really confused as to how they got our bank detAils and what their separate direct debit is for? Any help would be appreciated

Delh

dunstonh wrote: »

they are not dodgy. It is just that some people dont seem to realise they are borrowing money to pay their insurance and it is Premium credit that handle the credit. Not the insurer.

Think about what car or house insurance you have paid for monthly and chances are it applies to that. Especially if it is one that you cancelled mid term but didnt notify the insurer (ie only cancelled the direct debit)

I would take issue with the "not dodgy" statment. We had cause to take out unoccupied home insurance , a rip off in itself, when my mother went into a nursing home and subsequently passed away. The first payment was for 2 instalments and then it has been paid every month since, when mum passed away we contacted the insurance company with new bank details which happned to be in my name because we were still awaiting probate. The house has been sold and we rang a week ago to cancel the policy and I cancelled the direct debit. 2 days later I got a letter from premium credit threatening me with a default notice so they had clearly tried to take a direct debit 3 weeks before it was due and then seperatly we got an email from the insurance company saying we owed them an amount which was just £7 less than a full months premium for one weeks cover.
So in my view they are "dodgy" and Highworth insurance is not too far behind them in the "dodgy" ratings

Oh and I have NEVER signed a credit agreement with them because I itially it was in mums name then in the "estate off"

forgotmyname

Your clouding the issue between the insurance companes charges and the loan from premium credit to pay the insurance. Which is basically what you did.

You dont have to sign an agreement for it to be valid.