mortgage protection

_Andy_

Chin - I'd suggest entering a complaint about it. Trying to use bullsh*t sales tactics like that is poor.

On another note, I appreciate money is going to be tight, but do have a shop around for CI. The younger/healthier you are, the cheaper it's going to be.
Things like CI are easily put off until it's too late (something happens) or an external event (you know someone who gets ill which gets you thinking etc)

Your choice obviously but don't let the cowboys at the bank put you off.
Anyway good luck with the purchase, hope all goes well

holly_hobby

I am also presuming of course that the adviser has ensured any CI policy, is also within your long term affordable budget .. this is a basic requirement of providing advice and proving suitability under the rules of best advice .... the most important insurance you should have (and the only ins that can be insisted upon is):-

A) buildings
Life assurance suitable to redeem the mge on either death (either already provided for, or covered by a minimum of DTA for repayment mge & LTA for interest only)
c) Evidence of a suitable repayment vehicle for interest only mges exceeding the lenders pivotal LTV

The above insurances can be effected with ANY company - but as an ex-adviser (pre-fee days) - I don't want you to effect any policies with anyone else, as that means I've done all the mge work which can be time consuming and messy, for none of the commission (payback). But in real life, thats just tough .... there have been a number of times when my providers policy for straight term assurance or indeed other policies (I was a Company Rep) was just more costly than another competitors - and if both policies had the same benefits - you couldn't really blame the customer for wanting to go with the alternative. I would console myself that there would be a lender proc fee & we were keeping control of the mge chain (I working for a national bank estate agency), by processing the mge itself.

Thats why they are trying to force you to take the policy - I would wage though that this is bordering on the edge of legality, in their infrence that your opportunity for finance is only available to you if you also purchase their products. If so, I am sure that both the FSA and Trading Standards would be most interested to here about this, as attempting to force an individual to take a policy that may not be suitable, but more importantly even if the policy is suitable and affordable, actively forbidding you from obtaining advice or provision of such a policy from the open market - should that be your wish - simply not acceptable.

I have seen many a stunt taken over the yrs by both fellow advisers I worked with as part of the estate agency in the early 90s, i.e if the client insisted upon a repayment mge they would send him to their own bank saying "you will get a better rate going direct"- as they felt the commission off a DTA/LTA was simply not sufficient for the work they would have to do - and did not help to the huge targets we had for monthly written business, and banked business - to the most horrendous and hair curling advice evidenced as part of my roles in business review, monitoring and complaince positions.

The fact that the adviser or bank (if its a company directive) are attempting this behvaiour in todays much tighter controlled & regulatd industry simply staggers me ....

Holly

opinions4u

kingstreet wrote: »

Absolutely. Banks make more out of flogging insurance products than they do out of lending.

That's not the case.

Their cover is among the most expensive in the market too.

I've certainly never known any bank offer market leading rates, that's for sure!