GE Money / Paragon Help (If Possible)

djc667

Hi , i wonder if anybody could possibly help !!

I,m in the middle of a PPI claim with Paragon/GE Money.

The loan was taken out in September 2002 via Purple Loans (Midland & General Direct Ltd)

I,m trying to identify the Underwriter for the PPI Portion of the Loan , ?

If anyone could shed a glimmer of light it would be truely appreciated.

Many thanks
DJC667

magpiecottage

Midland & General Direct recorded a name change to GE Money Direct Limited at Companies House on 3 October 2005.

It became an Appointed Representative of GE Home Lending Limited on 31 October 2004, the day on which the FSA began regulating mortgages (but not general insurance which commenced on 15 January 2005).

This means, notwithstanding the change of name, GE Home Lending has no liability for the activities of GE Money Direct prior to 31 October 2004 and no liability for any insurance policies sold prior to 15 January 2005.

This may seem harsh on consumers but GE Home Lending had no control over what its representative did or did not do until it became their representative.

On the other hand, GE Money Direct has never subjected itself to the jurisdiction of the Financial Ombudsman Service.

So you are on the horns of a dilemma. If you complain to GE Home Lending they will simply say "not us". If you take them to the Financial Ombudsman Service they will say it again.

If you complain to GE Money Direct they may uphold your complaint but if they do not then FOS has no jurisdiction and you would have to go to court.

If you complain to the insurer, they will respond that they are simply the provider. You could possibly complain to the insurer IF it subscribed to the General Insurance Standards Council's Code of Practice at the time and Midland & General Direct (as it then was) did not, because that would amount to a breach of the code by Midland and General but this is a tenuous argument.

Sorry - this is not what you want to be told but I hope it helps you to understand your position.

You could complain to GE Money Direct anyway. The worst they can do is say no.

djc667

Many thanks ,

Appreciate the feedback , DJC667

djc667

Having digested the information you kindly provided could i possibly ask for your comments on the following ,,

GE Money Direct Ltd & GE Money Home Lending albeit two different companies seem to reside at the same address ?

(A letter i received from the FOS links GE Money Direct to Croxley Green Business Park , Watford along with GE Money Home Lending

The underwriter for the PPI at the time of Loan was

London & Edinburgh Insurance Company
8 Surrey Street
Norwich
NR1 3NG

A member of the CGNU Group
A member of the General Insurance Standards Council

Is there any value in approaching L&E ?

Again any feedback would be truly appreciated

DJC667

magpiecottage

It may well be.

Your complaint would be:

I took out PPI on the incorrect advice of London & Midland in 2002.

At that time it did not subscribe to the code but you did and, in accordance with the code were not permitted to accept business from London & Midland.

I have now determined that the policy was missold to me because [reasons].

Had you not breached the code, I would not have purchased the policy and therefore not suffered the loss. I am therefore dissatisfied that London & Edinburgh has caused me to suffer financial loss as a direct result of its failure to protect my interests in accordance with the code and wish you to redress that loss.

See how you get on.

djc667

Thanks again ,,

gillbrian

Hi djc667.
Good luck with this, I am in the same situation with the broker being Freedom Finance/Wilmslow and the lender Paragon. Our loan was taken out Nov 2004. I complained to Paragon who passed me onto FF who said 'not us' and passed me to Bespoke (a company trading from Gibraltar!) but had no luck. I tried a claims company who were useless and then saw sense and logged it with the FOS in September 2009. The FOS have told me as Freedom/Wimslow/Bespoke were not regulated in 2004 they are trying to claim from the underwriters who are the same as yours, London and Edinburgh. I rang FOS on Friday for an update and was told that because of the complicated matter of claiming from the underwriter it could be some time before anything was resolved, if indeed it gets resolved at all.

If you do intend to go straight to the underwriter for the claim, would you mind letting us know the outcome?

The FOS told me there are 3 thousand! complaints of this nature.

It is annoying to know that we have a very strong case for miss selling yet there is a chance they will get away with it.

will have to just sit tight and see what happens

Best of luck to you and here's hoping for a positive outcome for all of us

djc667

Hi ,

Yes will update with any news ,

DJC667

linzzz_2

Hi, just wondered if anyone has got any further with this? I am in exactly same situation as GillBrian and have been battling this for years but refuse to give up! This was absolutley missold to me but feel the same awful feeling that they are going to get away with it

[Deleted User]

linzzz wrote: »

I am in exactly same situation as GillBrian and have been battling this for years but refuse to give up!

You could try to get in contact with GillBrian

http://forums.moneysavingexpert.com/member.php?u=945497

The poster concerned last logged on to the site on the 20th of this month, so might be worth sending a personal message (PM) to.