PPI FAQs discussion thread

CMK76

Thanks

I took the Mortgage with Abbey ( now Santander) i rang regarding this old mortgage as i knew i had been mis sold ppi. The customer service agent gave me the mortgage reference numbers and then connected me to santander ppi claims handler.

Not sure what to expect!

C

darrenwhite82

I have just been checking my mortgage documents from November 2004, I applied for a mortgage through a broker, the mortgage was with Northern Rock, at the time of applying I was asked about PPI but stated that I would not need it due to my occupation (Police Officer) as we have cover through our federation. I was told that it would be a requirement of the mortgage to but PPI, this was taken out through Legal & General and the policy states 'Mortgage Payment Protection'. I did not need this but have just realised that I am still paying 13 pounds per month and have been for 8 years. Who do I approach for this mis-selling, would it be Northern Rock/NRAM or Legal and General. It also states on my mortgage offer that "no insurance is legally required".

dunstonh

darrenwhite82 wrote: »

I have just been checking my mortgage documents from November 2004, I applied for a mortgage through a broker, the mortgage was with Northern Rock, at the time of applying I was asked about PPI but stated that I would not need it due to my occupation (Police Officer) as we have cover through our federation. I was told that it would be a requirement of the mortgage to but PPI, this was taken out through Legal & General and the policy states 'Mortgage Payment Protection'. I did not need this but have just realised that I am still paying 13 pounds per month and have been for 8 years. Who do I approach for this mis-selling, would it be Northern Rock/NRAM or Legal and General. It also states on my mortgage offer that "no insurance is legally required".

If you used an L&G sales rep then most of these have as their business model that you are required to buy the insurance from them to get the "free" mortgage advice. That is allowed and not a reason for mis-sale.

However, the insurance has to be suitable. That is where your complaint is.

Problem you are likely to have is that your bought prior to regulation (Jan 2005). So, the broker you used (as it is they you complain to) is likely to be able to refuse to consider your complaint on the basis of it being pre-regulation.

You can try as you do have a valid complaint reason on eligibility (he should have arranged life assurance and/or CI cover instead) but statistically you are likely to get a rejection.

darrenwhite82

Thanks for the advice, Ive just checked the docs which started on the 30th Jan 2005 so may just be covered although the application was in Nov2004, the broker was through the Police. I have just contacted NRAM on another matter and enquired with them,they are going to process a claim and make a decision within 8 weeks, I have thankfully retained all the paperwork (inc mortgage requirements interview) which has my response to the question of PPI stating "due to my profession I have good coverage for sickness injury or any other circumstances which would effect my ability to pay the mortgage" and NRAM have confirmed that I it was not a requirement for the mortgage to be approved. Here's hoping!

dunstonh

darrenwhite82 wrote: »

Thanks for the advice, Ive just checked the docs which started on the 30th Jan 2005 so may just be covered although the application was in Nov2004, the broker was through the Police. I have just contacted NRAM on another matter and enquired with them,they are going to process a claim and make a decision within 8 weeks, I have thankfully retained all the paperwork (inc mortgage requirements interview) which has my response to the question of PPI stating "due to my profession I have good coverage for sickness injury or any other circumstances which would effect my ability to pay the mortgage" and NRAM have confirmed that I it was not a requirement for the mortgage to be approved. Here's hoping!

Unfortunately, it is the date of application that matters but it may not be picked up that it was signed before that.

Northern Rock have no liability for the PPI complaint and wont be able to give you any response other than "it wasnt us".

Forget the requirement for it for the mortgage. If the broker insists on insurance to get free mortgage advice then they are allowed to do that. NR have no say on the pricing model of third parties and the FSA allow that pricing model. Your complaint is that as a police officer you cannot be made redundant (so no need for unemployment cover) and you have 6 months full pay, 6 months half pay creating significant overlap with the policy.

daveok

I've never had a PPI but I was told I had to have Indemnity Insurance when I first got a mortgage. It always bugged me because I was the one paying the premium and yet any payout would be paid to the bank so they had no risk but I still did. A friend told me that was the same as PPI but I am not so sure and have been unable to find a definitive answer using Google or this site. Can anyone clarify for me please?

dunstonh

I've never had a PPI but I was told I had to have Indemnity Insurance when I first got a mortgage.

As was the case when MIG was charged.

It always bugged me because I was the one paying the premium and yet any payout would be paid to the bank so they had no risk but I still did.

You wanted the house, you paid the premium to reflect your lack of savings. That was the position. You had the choice so save more.

A friend told me that was the same as PPI but I am not so sure and have been unable to find a definitive answer using Google or this site. Can anyone clarify for me please?

It isnt even close to PPI in any single way. Your friend is wrong.

daveok

dunstonh wrote: »

You wanted the house, you paid the premium to reflect your lack of savings. That was the position. You had the choice so save more.

Thanks for the advice but there was no need to get on a soapbox and advise me to save more. That is unnecessarily condescending in a thread to do with borrowing. You are advising someone that has no loans or credit cards but has a mortgage and yet you have somehow instructed me 'so save more'.

I'll presume that you are educated in these things, that you know what you are talking about and so I thank you again for the advice. You just need to learn to be polite now then.

dunstonh

Thanks for the advice but there was no need to get on a soapbox and advise me to save more. That is unnecessarily condescending in a thread to do with borrowing.

First of all it was not condescending. It was a statement of fact. It was there to allow people who had not saved enough to be able to have a mortgage. Second, this thread is about PPI. It is not about borrowing. It isnt about MIG either.

You are advising someone that has no loans or credit cards but has a mortgage and yet you have somehow instructed me 'so save more'.

I have given you no such instructions. However, if you had saved more then you would could have increased your deposit and not paid the MIG.

I'll presume that you are educated in these things, that you know what you are talking about and so I thank you again for the advice. You just need to learn to be polite now then.

You need to be less sensitive and not read things in messages that are not there.

mollypoppet

I recovered 4 payments of PPI but unfortunately used the PPI claimline company who are now looking for payment of approx £1400 in charges. I had to constantly chase them for reports and updates. I know I should have tried to reclaim myself but didnt know this at the time. Can I try to negotiate a fee with them or must I pay their full charges.