Can you claim PPI if...

DrSqueeze

The key question I think is this. Would your partner be able to comfortably repay the loan in the event of redundancy (or sickness, assuming the policy covers that as well?) without the PPI ?

That should probably be the main deciding factors when considering whether the PPI is still required. Remember, if the PPI is cancelled then the loan has to be repaid by your partner no matter how his circumstances change.

As far as a claim for mis-selling goes, I don't really see any obvious grounds based on what you've said so far. Your partner was made aware of the PPI, given what seems a perfectly sound justification for accepting it and the description of what the bank's representative said suggests it was optional.

This is not to say it wasn't mis-sold, but I don't see a clear case yet.

(This is just my opinion, based on my interpretation of the information given).

dunstonh

KayJ066 wrote: »

Well, I got home last night and my partner had a letter from Lloyds, stating that he has "enjoyed peace of mind for the last 12 months as you have Lloyds loan insurance" it is £36 a month but he can cancel if he wants, although they wont pay back what he has already paid. It is pretty much a generic letter, i spoke to my partner who says when he took the loan out the guy that was doing it for him told him that the insurance would protect him if he lost his job due to redundancy and as there was a recession he should take it as he wouldnt know if he would ever need it.

Based on that info, should he claim or not?

Claim is what you do if you are sick or unemployed. Complain is what you do if you think it was mis-sold.

Based on what you have said so far, there is no indication that it was mis-sold. What the bank told your partner is correct.

KayJ066

dunstonh wrote: »

Claim is what you do if you are sick or unemployed. Complain is what you do if you think it was mis-sold.

Based on what you have said so far, there is no indication that it was mis-sold. What the bank told your partner is correct.

Complain is what I meant.

I have spoken to my partner again and asked him if he can remember what was said etc, he says the guy who did his loan told him that there would be more chance of Lloyds accepting him if he took the PPI.

KayJ066

DrSqueeze wrote: »

The key question I think is this. Would your partner be able to comfortably repay the loan in the event of redundancy (or sickness, assuming the policy covers that as well?) without the PPI ?

That should probably be the main deciding factors when considering whether the PPI is still required. Remember, if the PPI is cancelled then the loan has to be repaid by your partner no matter how his circumstances change.

As far as a claim for mis-selling goes, I don't really see any obvious grounds based on what you've said so far. Your partner was made aware of the PPI, given what seems a perfectly sound justification for accepting it and the description of what the bank's representative said suggests it was optional.

This is not to say it wasn't mis-sold, but I don't see a clear case yet.

(This is just my opinion, based on my interpretation of the information given).

Yes, he still would be able to pay it as our company provides full sick pay, plus my wages would more than cover the loan payment if for some unknown reason he wasn't getting paid.

magpiecottage

KayJ066 wrote: »

I have spoken to my partner again and asked him if he can remember what was said etc, he says the guy who did his loan told him that there would be more chance of Lloyds accepting him if he took the PPI.

It is possible this was the case but we have now had three different stories.

First he did not know the policy existed.

Then we are told he was aware of it and what it did for him.

Now he apparently was told it would improve chances of getting a loan.

When I look at a case, small inconsistencies or vagueness add credibility to a testimony - I do not expect perfect recollection and am suspicious of it.

However, blatant contradictions set alarm bells ringing - which version is correct - and can I be more than 50% certain that any version is?