PPI Reclaiming Discussion Part 5

BooJewels

Moneyineptitude wrote: »

I don't think you need to be a financial advisor to appreciate that a complaint that an insurance policy was mis-sold would result in a refund of the amount paid plus interest and the cancellation of the policy.

As I've stated several times now, I never felt that the policy was unsuitable for us, we were happy to continue with it - and had successfully made a claim on it. Our complaint was very specifically that at the time we took it, it was made a condition of the financial advance and we were denied the opportunity of shopping around and maybe securing a better deal.

It never even occurred to me, or my husband, that making a complaint was an 'all or nothing' affair, that the claim wouldn't be considered on individual details. We were of the mind that they'd only consider the fact that we were tied to their product instead of being free to source our own, possibly better third party policy.

Not being intimate with this subject and only even considering it this side of New year, nothing gave us grounds to think the policy would need to be cancelled. I directly asked them the question and was told that it wouldn't for the type of complaint we were making, so the misunderstanding is not entirely my fault.

We thought the best we could hope for was some small goodwill payment in view of how much the policy we were forced to take might have cost over an alternative product from elsewhere.

[Deleted User]

BooJewels wrote: »

I just wanted the inappropriate actions of one member of staff acknowledging.

Thankfully, PPI was widely mis-sold by financial institutions and it was their own selling policies (not unscrupulous staff), most massively at fault.

As such the person who sold you the PPI will never personally be held to account (nor should she be. )

Take the money being offered, cancel the insurance and (if you still want cover) find a better alternative.

Splinterbungee

BooJewels wrote: »

Garry, as I understand it, PPI (Payment Protection Insurance) is the general term for the type of policy - one that protects your regular scheduled repayments on a financial product, such as loan, mortgage or credit card, should you lose your job or be ill etc. But individual finance companies (banks credit cards etc.) had their own names for their particular products of that nature.

It sounds like it might be NatWest's version of a PPI policy that took the form of a single premium policy - the whole premium of the policy was added to the amount you borrowed, so you paid back some of it each month, along with interest on it too, along with your loan repayments and the interest for that.

Thats great thanks - I'd guessed and hoped that was the case. Your explanation makes sense and its given me some hope i might get something back. It must help that i have the original letter, which actually states "to make the loan agreement complete quicker..please sign and tick the box in the personal loan protection insurance section"
So fingers crossed! If I can get that loan amount refunded i'll be a happy chappy!

Michael76

Hi there
My wife signed up to a company who specialised in claiming back any PPI, she paid them £500 on a credit card which would be refunded if it was found no PPI had been taken.

However the company have gone into administration. My wife paid on my Tesco Credit Card, she used her card which is an additional cardholder card.

We have sent Tesco proof of the work that they were doing and not completed, but on each claim it shows my wife's name only.

Tesco have asked for proof that some of the policies/mortgages were in joint names as Section75 would not cover it if only in my wife's name.

We have looked to see if we have any proof but some of these loans and mortgages were several years ago so we no longer have any documentation.

This seems wrong to me to say that if my wife uses her additional cardholder card that purchases are not covered under Section 75, does this mean if my wife booked a holiday with her card she is not covered?? What is the point of an additional cardholder?!

Can anyone help, are Tesco's trying it on?

Many thanks Michael Haines

[Deleted User]

Tesco are correct regarding transactions by additional cardholders, if you cannot prove the purchase was for the benefit of the main cardholder.

[Deleted User]

Splinterbungee wrote: »

If I can get that loan amount refunded i'll be a happy chappy!

You won't receive a refund of the loan amount in any event, only the insurance policy will be refunded (plus 8% simple interest)

[Deleted User]

Michael76 wrote: »

Can anyone help, are Tesco's trying it on?

Unfortunately, you've made two very basic mistakes. The first was to pay an upfront fee to a Claims Management Company, if you really had to use a company then you should have chosen one on a "No win/no fee" basis. The second was for your wife to use your card to pay for her PPI complaint in which only she was named.

That leaves you £500 out-of-pocket and Tesco won't be refunding that. Out of interest, what is the status of your wife's PPI complaint? She may still gain redress.

Splinterbungee

Moneyineptitude wrote: »

You won't receive a refund of the loan amount in any event, only the insurance policy will be refunded (plus 8% simple interest)

I know i wouldn't get the main loan but as the amount for the insurance is documented as a loan on my paperwork am I right in thinking i would get that part back

Total loan approx £18K of which £4K was the loan to pay the insurance. Seems really high over 5 years

BooJewels

BooJewels wrote: »

I'll ring first thing and ask them to reinstate the policy and that will presumably cancel the complaint.

Just to update on my previous posts. I did ring first thing and spoke to someone else and got completely different information from yesterday. Although this lady did spend quite a bit of time reading notes, referring to other people for guidance and checking things - where yesterday he only checked the letter I was referencing.

The chap yesterday was adamant that the PPI (MRC) aspect of the mortgage protection policy had already been cancelled on the 23rd - I asked him to confirm that the policy had actually already been cancelled and he confirmed it with no hesitation. I pointed out that this was in contradiction of what the letter stated. She checked today and said she was looking at proof that that process hadn't even been commenced, they always allow an interval in case you contact them after receiving the offer letter as you may not accept it as outlined. Which had been my point yesterday - they hadn't allowed time for me to contact them.

I have told them that no matter what impact it has on the complaint and if I have to withdraw the complaint and reject the offer, I do not want the policy to be cancelled. She could see from earlier notes that I'd already told them this during the investigation.

It transpires that it's nowhere near as cut and dried as I thought after my conversation with them yesterday and you guys have suggested. It has already been referred to a specialist team to investigate. She was being vague, but she was very concerned by the paragraph in the decision letter that I rang about initially, which just didn't make sense and contradicted itself - and she took advice from a superior about it and said they'd honour what it said.

I just need to await them to look at it and write again. At least my husband is still covered whilst they undertake that process, so that's a weight off.

Nasqueron

Basically you have 2 possible outcomes

1) keep the policy
2) complain you didn't want the policy and they will close it

You can't complain the policy was miss-sold and ask for a refund and keep it as well though you could set up a new policy if you preferred. Basically a miss-sale complaint is saying that you should never have been sold the policy in the first place hence the cancellation.

I am not aware of anyone able to get a sort of half way house refund i.e. the difference between what they charged you and what you could have got if you'd been able to shop around.