PPI added to mortgage debts

craig19

In May 2006 I took out PPI for incapacity and unemployment when I took on my first mortgage. It was a single premium of £5000 providing cover for 5 years although the most I could claim for was 1 year protection. The agent at the time did not explain that this figure would be added to my mortgagae debt over 25 years and therefore the total cost for the policy would be £13300.
In April 2007, the FSA wrote to me to make me aware me of the above situation. Due to my financial naivity I did nothing about this at the time.
I believe I was also missold my PPI on the grounds that my previous medical history would make my policy useless ie. previous back problems not being covered by my current policy. I have never made a claim for PPI during this time and my policy runs out in May 2011.
Do I still have a case for reclaiming PPI?
If anybody can help I would be extremely grateful:)

amersall

Hi there, i am not sure on this. Give FSA a ring and they may be able to help you.
http://www.fsa.gov.uk/pages/consumerinformation/consumer_contact/index.shtml

dunstonh

In April 2007, the FSA wrote to me to make me aware me of the above situation.

For the FSA to write would indicate the firm must have been investigated and found to have signficiant issues.

I believe I was also missold my PPI on the grounds that my previous medical history would make my policy useless ie. previous back problems not being covered by my current policy. I have never made a claim for PPI during this time and my policy runs out in May 2011.

None of that really matters. What matters most is that in 99% of the cases, single premium MPPI is considered bad.

Do I still have a case for reclaiming PPI?

yes you have grounds for complaint.

magpiecottage

dunstonh wrote: »

yes you have grounds for complaint.

Absolutely.

Who did you buy it from (the company the person selling it to you worked for, not the insurer)?

craig19

magpiecottage wrote: »

Absolutely.

Who did you buy it from (the company the person selling it to you worked for, not the insurer)?

Thanks for your reply!
I bought the PPI from an independant mortgage broker called Savings Assured Mortgages (not sure if still running- I doubt it).
The policy was originally underwritten by Choices Insurance based in Cirencester but it was changed to another company called Assurant Solutions based in York.
I assume that my complaint should be taken up with my current insurers who now hold the policy.
What do you suggest?

dunstonh

I assume that my complaint should be taken up with my current insurers who now hold the policy.

No. They have no liability for the advice you were given.

Normally you would complain to the broker or their network. However, a quick check of the FSA register shows them as no longer authorised and not a member of a network. They are not a limited company which means the principle of the company still has the liability for advice.

I cant recall what the complaints process is where the liability is with an individual that is no longer trading. I will let magpiecottage answer that

magpiecottage

Thank you DunstonH

It took a little bit of research. The first thing I found was that Savings Assured Mortgages was a trading style of one Peter Richard Hilder whose registration ended on 6 January 2009

As this was not a limited company, he is personally liable, so I had a look to see if I could find his whereabouts.

I found a copy of a notice sent by the FSA, on the same day, to Hilder at his then current address - 19 Cambridge Road, Bristol. That is Bristol Prison!

However, Hilder was declared in default by the Financial Services Compensation Scheme in September 2009 by the Financial Services Compensation Scheme. He appears as "P Hilder t/a Savings Assured Mortgages".

I suggest you call the FSCS on 0800 678 1100 and put in a claim.