Can I claim PPI miss-selling on my mortgage

bored_at_home_2

Hi, my wife and I had a mortgage for a few years and in 2006 we both lost our jobs because the company was relocating and we didn't wish to move. When we were both out of work we tried to activate our mortgage protection insurance. However, we found out that if this was to occur it would not begin for six weeks. At the time I was confident we would both get jobs and within this time we both got new jobs. Myquestion is 1. can I claim for miss-selling of a mortgate protection and 2. does anyone have any experience of this and think whether this would be successful. thanks

dunstonh

Myquestion is 1. can I claim for miss-selling of a mortgate protection

Nothing you have said has indicated any mis-selling of MPPI.

2. does anyone have any experience of this and think whether this would be successful.

Based on the limited information you have given, you havent given any valid reasons for complaint so you cant see any success coming from it.

All MPPI plans have a deferment period ranging from 30 days to 90 days. You cannot get one that pays from day one (although the better ones pay back to day one once you get past the initial deferment period).

The fact you were confident you would both get back into employment was not something that was guaranteed and not something that could be banked on. Had you not succeeded in getting back to work, you could have made a claim and no doubt be happy you had it.

A mis-sale is not about you not getting a claim paid out because you didnt make a claim. If it was we would mostly get our household and car insurance premiums back each year.

bored_at_home_2

Hi, thanks for your response. My argument is that I was confident because of our skills and experience that we would both get jobs reasonably quickly. As soon as we realised that we could not claim and got new jobs we cancelled the mortgage protection. If we had realised that the protection would not begin for 6 weeks we would not have taken it out at the time. For that reason, that is what I thought we might be able to claim mis-selling. What are your thoughts ?:o

magpiecottage

bored_at_home wrote: »

Hi, thanks for your response. My argument is that I was confident because of our skills and experience that we would both get jobs reasonably quickly. As soon as we realised that we could not claim and got new jobs we cancelled the mortgage protection. If we had realised that the protection would not begin for 6 weeks we would not have taken it out at the time. For that reason, that is what I thought we might be able to claim mis-selling. What are your thoughts ?

I'll answer this one by saying I was confident I could avoid crashing my car until I wrote it off last year!

The fact is that you could not possibly know that you would not lose your job or that you would get a new one quickly and even if you did, you have no way of proving it.

Therefore the cover IS suitable. The waiting period is the equivalent of the excess on my motor insurance. An argument that you would not have taken out a policy if you had known about the excess is difficult to make effectively unless it is so great as to mean that the maximum possible payout makes the premium unreasonable.

That is not the case here.

dunstonh

My argument is that I was confident because of our skills and experience that we would both get jobs reasonably quickly.

A lot of unemployed skilled people said that.

If we had realised that the protection would not begin for 6 weeks we would not have taken it out at the time.

That is not a mis-sale reason. The product is what the product is.

For that reason, that is what I thought we might be able to claim mis-selling.

No. If you didnt have a financial need for it then you have a case. However, you did have a financial need. Therefore it was not mis-sold. You were lucky and got re-employed quickly so didnt need to call upon it. However, had that not happened you would have been able to claim on it. So, its not a case that you didnt have a need or couldnt have claimed. You just didnt need to call on it.

Lets look at life assurance. If you dont die, it wont pay out. You dont claim mis-sale if you live.

james123

could it have been mis sold IF they were told at the time they could claim from day one? or if this was implied? I really dont know, but am sure one of the guys on here will answer.

dunstonh

james123 wrote: »

could it have been mis sold IF they were told at the time they could claim from day one? or if this was implied? I really dont know, but am sure one of the guys on here will answer.

Yes. You just need to provide the evidence to support that allegation and you have them done to rights. However, if there is nothing to support the allegation then it is easily rejected.

daleyandrews

I claimed PPI on my mortgage, because I was sold it while I was self employed AND they said because I was self- employed that they wouldn't give me the mortgage unless I took out the mortgage protection at nearly £50 per month!
I was signed off work for 4 weeks with back problems but didn't worry at first because I thought I would be covered, but as it's been mentioned before my claim wouldn't start until I had been ill for 6 weeks! Luckily, I was back to work within 2 weeks so never made the claim. So I started investigating and it turns out I was miss-sold the Policy 1. I was self-employed and not eligible for cover and 2. I was told that I had to have the policy because I was self employed which is not true! BINGO!! I got paid back every penny since 2006 nearly £3600. So if you believe you've been miss- sold keep on at them and eventually they crumble! Good Luck.

dunstonh

1. I was self-employed and not eligible for cover

That is not a correct reason for upholding your complaint. You said yourself that they wouldnt start paying out on your claim for 6 weeks (the initial deferment period). So, clearly they did cover the self employed (as most MPPI does).

2. I was told that I had to have the policy because I was self employed which is not true!

Unlikely they would have upheld your complaint on that reason as it is unprovable. You could be making it up. It could be right. However, you cant prove it.

I got paid back every penny since 2006 nearly £3600.

If this was a bank, then its more likely you got paid out because of another reason or it fell under their auto payout procedure (if they are in backlog, then small value complaints often get paid out even if you have no case).

the two reasons you have given are almost certainly not the reasons they paid out.

daleyandrews

It did take nearly 12 months to get the payment but I just felt it was a lot of money to pay out every month on something that doesn't pay your mortgage when you need it to. I suppose I was one of the lucky ones, I was nearly giving up after about 3 months because I just kept hitting a brick wall. But my perseverance paid off.

Thanks for your reply

dunstonh

daleyandrews wrote: »

It did take nearly 12 months to get the payment but I just felt it was a lot of money to pay out every month on something that doesn't pay your mortgage when you need it to. I suppose I was one of the lucky ones, I was nearly giving up after about 3 months because I just kept hitting a brick wall. But my perseverance paid off.

Thanks for your reply

I see from your other post on another thread that it is a Halifax TMPP. Halifax have been auto paying out on that one. So, that explains why you got the refund.