Which company to write to ?

Stripey111

Hey, thanks for any help

I believe I have been mis-sold PPI when I took out a mortgage 3 years ago. We used the broker who worked for the estate agent to arrange the mortgage with nationwide and the insurances.

We were told that the mortgage product we choose had to have a certain insurance with it and we were then signed up to a £50 per month PPI policies which is with a company called sequence who is also the owner of the estate agent .

Who do I complain to? the estate agent, sequence? or nationwide ?

Should I use a re claim company if it’s going to be a tricky one?

Thanks for any help

magpiecottage

The estate agent.

However, the fact that you were sold PPI does not automatically mean it was missold. A monthly premium PPI policy to cover a mortgage would normally be suitable since failure to meet the monthly mortgage payments could result in you losing your home.

Why do you think it was missold?

dunstonh

Who do I complain to? the estate agent, sequence? or nationwide ?

The estate agent as mentioned above.

You should also provide them with a copy of your evidence to support your accusation. If you have no evidence then it's unlikely your complaint will be upheld if that is the only issue you have. This is because the broker should have an audit trail, none of which will show it as compulsory and will include cancellation rights sent to you. They should also have a needs analysis and a statement of demands and needs which show you need it. So, as long as all those are present and its set up monthly (not single premium) then its a very easy rejection for them. This is mainly why MPPI had much lower complaint stats than loan/credit card PPI.

Are you also sure it is PPI and not life assurance/critical illness cover?

Should I use a re claim company if it’s going to be a tricky one?

Claims companies use the same complaints process and dont have some magic workaround method to bypass the legal complaints process. Indeed, if anything, they have a lower success rate as most use one-size-fits-all template letters which make it easier to reject a complaint given the amount of lies some of them include.

What would be your complaint reasons and what evidence do you have?

Stripey111

Thanks for the reply,

It is a Out of Work insurance Policy

I believe it was mis sold as we were told that that Nationwide needed that particular policy to be excepted for the mortgage ,but I have now spoke to Nationwide and they say they just require us to have one. So we have been sold a dear 'in house' one, without being showed other alternatives. The cover is not very good also, only pays interest for 6months and not for the first 2months ,so the policy is not suitable for us.

I guess i need to shop around for a better policy and just change it!

thanks

dunstonh

So we have been sold a dear 'in house' one, without being showed other alternatives.

Irrelevant. Only independents have access to the whole of market and even their remit is to provide the best cover. Not the cheapest.

The cover is not very good also, only pays interest for 6months and not for the first 2months ,so the policy is not suitable for us.

How is it not suitable?

They all have a qualifying period and they all have a maximum term they will pay for.

I guess i need to shop around for a better policy and just change it!

Quite possibly, indeed probably. However, none of that makes is a mis-sale.

A tied sales rep has a responsibility to sell their product. No-one elses. If you employ a tied sales rep to do your insurance then you will get their product. No-one elses.

If you are going to make a complaint, then you need valid reasons for complaint. Otherwise you are just making the job very easy for them to reject. If you complain " we have been sold a dear 'in house' one, without being showed other alternatives" then their response will be that they are not authorised by the FSA to offer or recommend products from the market place and therefore to do so would be a breach of FSA regulation. Therefore they reject your complaint.

magpiecottage

Stripey111 wrote: »

I believe it was mis sold as we were told that that Nationwide needed that particular policy to be excepted for the mortgage ,but I have now spoke to Nationwide and they say they just require us to have one.

So you seem able to prove that you had to have a policy that provided those benefits but it did not have to come from Nationwide.

So we have been sold a dear 'in house' one, without being showed other alternatives.

That is a bit like complaining that you were only shown a Mondeo and not a Vectra at a Ford dealership. If you want to know about a Vectra, go to somebody who can talk about Vauxhall products.

The cover is not very good also, only pays interest for 6months and not for the first 2months ,so the policy is not suitable for us

It meets the requirements of the lender, apparently and unless you specified you wanted something with a shorter waiting period and/or maximum payout period then I do not see anything wrong with it.

I guess i need to shop around for a better policy and just change it!

That would be a good move - and remember to shop around before committing yourself next time!