Halifax Mortgage Redundancy cover –!can I claim?

helloguys

Hello,
In January 2010 myself and my partner took out a Halifax mortgage with Redundancy cover PPI. The cost of this was around £80 a month for joint cover split 50/50. In September 2011 my partner was made redundant however Halifax will not pay out until January even though we were initially told payments will begin in October.

She rang the Halifax at the beginning of October to make the redundancy claim and to file all the neccesaary paperwork. She was later informed on a subsequent call a few weeks later that payments would be backdated to October and that the claim was successful. However we received a letter in November stating that as my partner received 2 months salary in lieu that along with the 30 days notice period meant that she would only start the redundancy payments from January.

When we were sold the cover we were told that payments would kick in 30 days after we were made redundant. The policy contains no mention of how payment in lieu can effect the time period after they pay out. Unfortunetely my partner is still not employed and we were relying on this money. If we knew this we would never had taken out the cover and feel the policy has been missold. It has also effected her job decisions when offered temp work in October so has potentially cost us even more. The 2 months payout alone that we thought we should be receiving is around £1600.

Do you think this is worthy of a claim? and should we be refunded for the monthly cost of the policy aswell as the 2 months we thought we would be recieving?

Thanks in advance

dunstonh

The cost of this was around £80 a month for joint cover split 50/50.

That eliminates one of the most common complaint reasons (single premium). Monthly is how it should be.

In September 2011 my partner was made redundant however Halifax will not pay out until January even though we were initially told payments will begin in October.

Not a mis-sale reason. All PPI plans have a deferment period. Typically it ranges between 30 and 90 days. Some will pay back to day one once you hit the qualifying point.

She was later informed on a subsequent call a few weeks later that payments would be backdated to October and that the claim was successful. However we received a letter in November stating that as my partner received 2 months salary in lieu that along with the 30 days notice period meant that she would only start the redundancy payments from January.

That is correct. Payment in lieu is a continuation of salary. So, the qualifying point starts after those payments are made.

The policy contains no mention of how payment in lieu can effect the time period after they pay out.

Doesn't need to. Payment in lieu is straight forward as to what it is.

If we knew this we would never had taken out the cover and feel the policy has been missold.

That doesnt make any sense. The previous statement said you were relying on this money. So, not taking it out would now see you suffering financially.

It is not a mis-sale reason. Regrettably, it is you not understanding what payment in lieu is. You not understanding it is not grounds for complaint.

Do you think this is worthy of a claim?

You said you already are claiming and they are paying out.

and should we be refunded for the monthly cost of the policy aswell as the 2 months we thought we would be recieving?

No. There is no mis-sale here. If you were to complain and it was upheld, they would void the policy (so no more monthly payments to you under your claim) and they would deduct the amount of the claim benefit to date from your redress.

The policy is doing its job. You need it No mis-sale.