Halifax Total Mortgage Protection Plan

bc1

I've just been looking through my documents and wondered if I had a case to re-claim mis-sold MPPI.

My husband and I took out a joint mortgage with Halifax a few years ago, and we took the TMPP offered with it. We've since switched our mortgage to another lender so no longer have this or the insurance, although it is less than 6 years old.

My query is that the life cover and citical illness option covered the full mortgage each. My current opinion is that we would only need to cover 50% each as that is what we're responsible for. This policy is from our first mortgage, when I found the whole thing a little overwelming and complicated. I don't remember much about the meeting with the salesman other than that we didn't like him much, and found him a bit pushy. Everything is stated in the documentation though, so does this count as mis-selling? I certaintly wouldn't take it out now, not at £95 per month!

Any advice would be much appreciated.

Thanks

dunstonh

so does this count as mis-selling?

No.

I certaintly wouldn't take it out now, not at £95 per month!

Banks are the most expensive distribution channels and have been for the last 20 years. Nothing has changed on that front.

My current opinion is that we would only need to cover 50% each as that is what we're responsible for.

Normally mortgage protection is set up for 100% of the amount under joint life first death. Sometimes people do two single amounts as the cost difference when you are young is actually very small.

Is your policy a joint life policy or two single life policies?

bc1

It's one joint policy but states that we were each covered for the full amount of the mortgage for life cover and critical illness.

dunstonh

bc1 wrote: »

It's one joint policy but states that we were each covered for the full amount of the mortgage for life cover and critical illness.

Joint policy for 100% of the mortgage is exactly how it should be set up. So, the advice is good.

You would have no chance on this planet saying that 50% Joint life is suitable.

bc1

Ok, thanks. I guess I was hoping to make a claim for something but seems I've always declined the PPI on loans and credit cards!

So, if my current life insurance and critical illness is only for 50% of the mortgage is that not such a sensible approach?

dunstonh

o, if my current life insurance and critical illness is only for 50% of the mortgage is that not such a sensible approach?

No. Indeed, if it was an advised sale, it would be a potential mis-sale. Life assurance on a debt should always be joint life, first death (noting a few rare exceptions).