Insurance Compensation

alfwebby

Hi all,

This is a long and complex problem but hopefully someone will be able to help me.

Here goes.

In 2004 my partner had a car accident. The details and documents were given to the insurance company through the brokers office and it was dealt with. In 2007 a 2nd claim was made and again the documents and information was passed to the insurance firm through the brokers (where we were told not to worry it would be sorted out).

In 2008 my partner was denied finance on a car which she was easily able to repay, we assumed it was due to a poor credit history and only working part time jobs. My partners granparents gave her the money to purchase the car and we thought no more about it. In Dec 2008 we then attended a meeting at a highstreet bank to discuss a motgage where to our disbelief we were told there was a CCJ against my partners name on the credit file.

We were told a claim was made for £2,400+ in 2007 and the insurance company didn't pay it until after the court case, hence the CCJ. However we were informed by the bank that as the insurance company dealt with, and paid, the fee the CCJ should have been lodged against the company. We applied for my partners equifax report and in march 2009 instructed a solicitor to take the matter up. A letter was sent but no reply was recieved. The bank informed us we would have to pay for the court to look in to the case and possibly attend a hearing in Northamptonshire CC (a long way from our home in South Wales).

For various reasons,including money, university etc, the issue went unresolved and we just took it that we would have to wait 6 years for the CCJ to clear. We have since had to take up residence in a grandparents home as we cannot get a mortgage on just the oneincome and in April this year we had our first child. This has prompted us to look in to clearing the CCJ yet again only this time we have contacted the insurance company ourselves.

The insurance company have asked for 28 days to look in to the issue and have also requested any details we have. I have sent them all letters and a copy of the equifax file showing the CCJ, to aid the investigation.

HERE'S WHERE I NEED HELP:

Should the outcome be that they won't help I have been told to go to financial services/the finacial ombidsmun (however you spell it).

HOWEVER if the insurance company offer to clear the file and possibly compensation, how much is reasonable for this type of thing?

In the time that has passed we have had to rely on my credit for everything we have bought and have had to rely heavily on family and friends. Had we not gone for that mortgage meeting we would probably not have known for even longer that this had been done to us. As most people will know/guess living with grandparents is not easy and with a new born baby it has been even harder. We both work full time and have never been on the wrong side of the law. Although I woul dlike compensation for what has happened it's not the main goal. I'd like to own my own home and this has been made impossible. Once the CCJ has been removed it'll also be the start of building a credit score whereas a car, phones, bills etc would all have been contributing to it in the past years had this CCJ not been present.

Thanks in advance for any assistance.

AlfWebby

InsideInsurance

There is certainly a big potential argument over if you should be buying all these things if you cannot afford to do so and are resorting to try and get credit to do so.

It sounds like the challenges of owning your own home are much more a symptom of a single part time income and a new born child rather than a CCJ. Where would you have been now if you'd had all these outstanding credits charging interest at what sounds like would be sub prime rates?

Putting the political part of the argument aside, you need to look at a combination of both what time you've had to spend trying to resolve it and look at any true losses you've sustained because of it. I'd argue that short of solicitors fees that you presumably incurred that you have no sustained any true losses and so it would be more along the inconvenience and that would probably be a couple of hundred at the top end.

ACG

If the insurance company agree to refund and it was their error etc. And if they do/do not pay you compensation, im sure you can get a letter from them informing you of when the CCJ was applied and when it was removed and that it was their mistake.

If you apply for a mortgage some lenders will take this into account. Some wont but if you go and see an advisor they can run it by their account managers from the various lenders to find out before hand.

Quentin

Getting a ccj removed from your record in these circumstances is fairly common and fairly simple. (Though involves some expense etc and should be sorted by your insurer)

(You were misinformed by your bank when they told you the ccj should have been issued against your insurer, and they do share some responsibility over this)

But this all came to light in 2007, when most people in the same situation would have immediately raised a storm with their insurer, when the matter would have been resolved and your mortgage proceeded - now they have asked for 28 days to look into this, which isn't unreasonable in the circumstances, but as soon as they have had this time get on to them to ensure they are taking steps to get your ccj set aside.

Once this is done, your record will be unblemished - it will be as if you never had the ccj in the first place.