FOS or FLA?

shellleyb1

Hi

Does anyone know the difference between the FOS and FLA?

Black Horse have rejected our PPI claim and say that they were not covered by the FOS at the time we took out the loan and only cover policies 1 Dec 01 and 31 Mar 03 and from the 14 Jan 05 onwards. We took out our loan in Nov 2003. :mad::mad:

Will this effect us rejecting their rejection? They seem to have rejected using the same reasons as lots of other claimants.

Many thanks for you advice in advance. :)

dunstonh

Does anyone know the difference between the FOS and FLA?

Two different bodies covering two different regimes.

Black Horse have rejected our PPI claim and say that they were not covered by the FOS at the time we took out the loan and only cover policies 1 Dec 01 and 31 Mar 03 and from the 14 Jan 05 onwards. We took out our loan in Nov 2003.

FOS protection is given to companies that are regulated by the FSA. At that time, they were not regulated by the FSA so you dont get FOS protection.

Will this effect us rejecting their rejection? They seem to have rejected using the same reasons as lots of other claimants.

No. You can reject their rejection. You just cant go to the FOS.

magpiecottage

As far as PPI is concerned, the Financial Ombudsman Service, or FOS, has compulsory jurisdiction over all complaints relating to the sale of such products on or after 14 January 2005. That is to say, once the firm has had a chance to resolve the complaint, the complainant can take the matter to FOS.

It also has jurisdiction over any bank, building society or insurer that, at the time of the events complained about, was a member of the Banking, Building Societies or Insurance Ombudsman Schemes.

However, for other firms, it only has jurisdiction over a firm if at the time it subscribed to the General Insurance Council's Code of Practice and later on became directly authorised by the Financial Services Authority in respect of general insurance business. At one time Black Horse did subscribe to the code, then it stopped - then it became regulated by the FSA. If you purchased during the gap then FOS has no jurisdiction.

FOS will normally get an adjudicator to resolve the matter but either party can insist on that an Ombudsman considers it. The Ombudsman's decision is legally binding on both sides if the complainant accepts it. If not, then it is binding on neither.

The Finance & Leasing Association has its own "Conciliation Procedure" to deal with disputes and is available to full members.

It cannot make a legally binding decision or award compensation. It also has an independent arbitration scheme but it is more limited in what it can do than FOS and the arbitrator's decision is immediately binding on both sides.

Given that consumer credit in respect of sales since 6 April 2007 also falls under FOS jurisdiction, I imagine that the FLA's remit for resolving disputes will reduce over time.

pebbles_shore

Hi, I'm in the same boat!!! BH rejected my claim and said it was not eligible for consideration by the FOS as they weren't covered by them in June 2004. I rang FOS to clarify this. The FOS suggested i get the name of the underwriter (Genworth Financial) which would enable them to consider my complaint. Next step FOS, Genworth Financial, and another letter to BH.:mad: