Miss-selling reasons

Declaration_2

I have done a lot of reading about valid reasons for complaint regarding the miss-selling of PPI. A number of posts suggest that the strongest complaint is where the PPI is a single premium payment added to the loan, and on which interest is subsequently charged.

Can anyone say why this is? I would have thought it would have been a stronger complaint if the policy was not in the best interests of the client, or if it was no use to them.

I also can't find any 'official' statement where it refers to upfront PPI premiums being a solid reason for complaint. Could anyone direct me to this please?

Thanks

dunstonh

Can anyone say why this is?

When it is front loaded it has interest added to it. Whereas had it been set up with monthly payments for the PPI then no interest is charged. It is one of the reasons why Mortgage PPI has far fewer complaints.

I also can't find any 'official' statement where it refers to upfront PPI premiums being a solid reason for complaint. Could anyone direct me to this please?

I am not aware of any official list of what is a mis-sale. Only interpretations of what people believe they are.

I would have thought it would have been a stronger complaint if the policy was not in the best interests of the client, or if it was no use to them.

Most people do have a financial need for it and it would have been use to them. A number of other complaint reasons are unprovable (told you had to have it for example). The auto-payout reason doesnt appear in complaint lists either but a number of providers are paying out even if there isnt a valid complaint reason.

Declaration_2

Thanks for your response dunstonh, it's a bit clearer now.