PPI through Financial advisor ?????

brynhall

Hi all, I was sold a mortgage through a financial advisor and the same advisor arranged the PPI insurance for me as I required it!!!! acording to them, Does anyone know where I stand with regards to reclaiming PPI as I was not sold this by the actual isurance company?

dunstonh

I was sold a mortgage through a financial advisor and the same advisor arranged the PPI insurance for me as I required it!!!!

Which all sounds normal and fine.

Does anyone know where I stand with regards to reclaiming PPI as I was not sold this by the actual isurance company?

Firstly you are talking about MPPI. That has far lower success rates on complaints than loan and credit card. It tends not to suffer a number of the same issues.

Secondly, you used an adviser and not a bank clerk or unqualified individual. this means the adviser would have a factfind on you, a needs analysis and would have issued a report. If all PPI had been done this way, then there wouldnt be a PPI issue.

I read the other day that the FOS had only received 16 PPI complaints against the UKs biggest adviser network (which dominates the industry).

The three main areas where MPPI complaints get upheld are:
1 - single premium - it should always be set up with monthly payments.
2 - no financial need for it - if you already have income protection or long term sick pay
3 - ineligible for cover - ie. you couldnt claim on it as it wouldnt cover you.

If none of those apply, then dont bother complaining. If your only complaint is a verbal accusation saying you were told to have it then it is an easy rejection unless you have evidence.

So, what is your reason for complaint?

brynhall

Thanks for the reply, all seems a little clearer BUT, my point is that I was told to take out MPPI through this insurer!! (no shopping around) and the advisor did not know my full curcumstances with regards to employment and employment sick pay etc, I just find this unfare that not only was I sold something I never really required but was not given a choice of insurers or told to shop around myself....

Many thanks again.

dunstonh

my point is that I was told to take out MPPI through this insurer!! (no shopping around)

It is an irrelevant point. There is and never has been a requirement to tell you to shop around. Indeed, if the adviser you used was a tied agent then legally they can only recommend their own product. If it was an independent then they pick who they think it best.

the advisor did not know my full curcumstances with regards to employment and employment sick pay etc

A mortgage application virtually completes all the requirements bar a couple of questions. There are actually no FSA requirement to ask specific questions. The rule is that you should know your client. It then leaves it for each adviser/firm to decide what info is needed.

I just find this unfare that not only was I sold something I never really required but was not given a choice of insurers or told to shop around myself....

As said, the latter point is irrelevant. The former point is only valid if you have no financial need for it.

magpiecottage

brynhall wrote: »

Thanks for the reply, all seems a little clearer BUT, my point is that I was told to take out MPPI through this insurer!! (no shopping around)

Who did he work for (and when was it)?

the advisor did not know my full curcumstances with regards to employment and employment sick pay etc, I just find this unfare that not only was I sold something I never really required

So who did you work for, what sick pay would you have received and what did they GUARANTEE to pay you if you lost your job?

brynhall

Thanks again for your reply Dunstonh,

Hi Magpiecottage, the company that advised me was Cartel Marketing Ltd and was during the period of Feb 2004 to Aug 2010.
I am employed by McCain foods and have very good sickness benifits. from what I remember the cover was decreasing cover with the mortgage and the payments where covered in full for a period of time (unsure of period).

Phildoh

Did you ever manage to claim as I am in a similar position??

dunstonh

Phildoh wrote: »

Did you ever manage to claim as I am in a similar position??

The OP hasnt visited the site since 2012. Statistically speaking, they probably failed as the insurance was bought before regulation of financial advisers in insurance (14th Jan 2005).

Rather than focusing on someone else, tell us about your case.

Sandra25

Hi Dunstonh, I wonder if you could advise me...
I am in a similar situation, we were sold a PPI by an independent financial advisor back in 2006 for our mortgage. At the time my understanding was that we had to take it as we did not have the funds to pay for the advisor's fees. So we signed for a protection plan from Bright Grey, now called Royal London for which we still pay £50/month, it is a lot of money since 2006. My concern is that I felt pressurised at the time to take the PPI as I saw it as a mode of payment to the advisor. I seriously doubt now that I could make a claim if I needed to considering all the exclusions in the policy, it's fairly complex and I am not that financially minded! Shouldn't I buy a stand-alone policy which could offer a more appropriate level of cover and would that PPI not be considered as being mis-sold? Thank you!

McKneff

Sandra25 wrote: »

Hi Dunstonh, I wonder if you could advise me...
I am in a similar situation, we were sold a PPI by an independent financial advisor back in 2006 for our mortgage. At the time my understanding was that we had to take it as we did not have the funds to pay for the advisor's fees. So we signed for a protection plan from Bright Grey, now called Royal London for which we still pay £50/month, it is a lot of money since 2006. My concern is that I felt pressurised at the time to take the PPI as I saw it as a mode of payment to the advisor. I seriously doubt now that I could make a claim if I needed to considering all the exclusions in the policy, it's fairly complex and I am not that financially minded! Shouldn't I buy a stand-alone policy which could offer a more appropriate level of cover and would that PPI not be considered as being mis-sold? Thank you!

You need to start a completely new thread of your own. This thread is about 7 years old and was last visited a number of months ago.

dunstonh

So we signed for a protection plan from Bright Grey, now called Royal London for which we still pay £50/month, it is a lot of money since 2006. My concern is that I felt pressurised at the time to take the PPI as I saw it as a mode of payment to the advisor.

Bright Grey was life assurance. Not PPI.

At the time my understanding was that we had to take it as we did not have the funds to pay for the advisor's fees.

A very common model and one that is allowed as long as the insurance is suitable. As most people take out life assurance on their mortgage and there is good reason for doing so, there doesnt appear to be an issue.

My concern is that I felt pressurised at the time to take the PPI as I saw it as a mode of payment to the advisor.

You had a choice. Pay a fee or buy an insurance policy. As you would likely have a life assurance policy anyway, using that makes common sense.

I seriously doubt now that I could make a claim if I needed to considering all the exclusions in the policy, it's fairly complex and I am not that financially minded!

What exclusions?

Shouldn't I buy a stand-alone policy which could offer a more appropriate level of cover and would that PPI not be considered as being mis-sold?

Forget PPI. You are not talking about PPI. You are talking about life assurance (plus potentially some bolt ons). Bright Grey, now Royal London, is well regarded. Why do you think others would be better?