Is MPP the same as PPI?

bod1467

As per subject really.

Is Mortgage Payment Protection the same as Payment Protection Insurance? Are MPP policies also open for challenge re. repayments?

Is there a time-bound limit to this?

di3004

Hi there

I understand its reclaimable if mis sold, but Dunstonh will be able to help and confirm on this one, good luck.

magpiecottage

Mortgage Payment Protection Insurance is a form of PPI specifically for ensuring mortgage payments are met.

As with other products, you can complain if it was missold but generally it IS good advice to have cover if it is available because if you don't keep up the repayments you could lose your home.

Reasons that a complaint might be upheld include being unaware that you were ineligible for some or all of the cover - normally through pre-existing medical conditions or occupational status - or paying a lump sum for the premium (as opposed to monthly premiums) and having it added to the loan (particularly if the cover expired before the end of the loan term).

dunstonh

MPPI is similar to loan and credit card PPI although many of the issues are not the same.

e.g. MPPI is considered good when set up and being paid monthly but considered bad if single premium.

MPPI is also considered best advice where suitable whereas normal PPI is just seen as a sales opportunity. Most MPPI plans are sold under an advice process or bought direct. Loan/credit card are sold by non-regulated individuals.

Any financial product can be mis-sold but you cant really use the same reasons for MPPI as you can loan/credit card.

Is Mortgage Payment Protection the same as Payment Protection Insurance? Are MPP policies also open for challenge re. repayments?

The product is not open for challenge as the product is not the issue. It was how it was sold and set up that matters. So, why do you think yours was mis-sold?

bod1467

I don't - I was just curious whether MPPI suffered the same issues as PPI.

I used to have MPPI with Halifax back when I had an endowment mortgage. I started to make a claim in late 2001 when I was being made redundant, but then I got another job (same company, so no redundancy) so I withdrew the claim. In 2007 I switched to a repayment mortgage and cancelled the MPPI. (I have other relevant insurance now).

Thanks to all for their feedback.