mis-sold PPI through AWD (Carrington Carr) ??

ado

dunstonh wrote: »

That would go for most MPPI complaints. However, very few complaints get upheld on that basis as it is silly complaint reason.



Problem is that MPPI front loaded and added to the mortgage is bad advice. It is more expensive as the individual is charged interest they didnt need to be charged and doesnt cover them for the whole term as monthly premium would. 99% of single premium MPPI results in upheld complaints. The FOS will quite correctly not allow consumers to sign waivers or confirmations on bad advice as an excuse to get away with bad advice.

Regardless to whether it was good or bad advice for the customer a single premium policy had some massive advantages for AWD. Once it was in place it was hard to cancel it, AWD then got all the commission up front, and it also added to the mortgage balance which then affected the mortgage commission along with the massive fee charged to set it all up. It also has a small but significant effect on the amount of life insurance required to cover the mortgage which also increased AWD's commission (assuming they sold life/CIC with it). All in all the big winners from a single premium sale was AWD and their sales staff.

dunstonh

Regardless to whether it was good or bad advice for the customer a single premium policy had some massive advantages for AWD. Once it was in place it was hard to cancel it, AWD then got all the commission up front, and it also added to the mortgage balance which then affected the mortgage commission along with the massive fee charged to set it all up. It also has a small but significant effect on the amount of life insurance required to cover the mortgage which also increased AWD's commission (assuming they sold life/CIC with it). All in all the big winners from a single premium sale was AWD and their sales staff.

No-one disputes it was in the interest of AWD. It certainly wasnt in their client best interests. This is why you would expect most of these complaints to be upheld. It was bad advice.

The previous poster (the one I was responding to and quoted) was trying to justify what they did and it isnt justifiable as I said.

ado

Sorry Dunston, I wasn't trying to disagree with you but the point I wanted to make was that AWD made a lot of money from MPPI and that had knock on effects for the other things they sold.

AWD spent a lot of time trying to TCF however their emphasis was on TCF was one which enhanced their commission.

magpiecottage

excchfadvisor wrote: »

I worked for this company for a number of years as an advisor and can state that I would find it hard to believe that ANYONE can claim to not be aware they had or they were missold PPI.

Every customer signed a form, one of many it must be said, that explicitly laid out what the customer was buying and the implications of adding the PPI premium to the mortgage. Copies of these documents were left with the customer.

I find it hard to believe that if the full cost of the policy over the entire mortgage term (perhaps 25 years) had been explained to them, how long the policy would actually pay out for (12 or maybe 24 months) and that it would not pay out at all after a certain time (possibly 5 years) that anybody capable of getting a mortgage would have been daft enough to take such a policy out.

ado

magpiecottage wrote: »

I find it hard to believe that if the full cost of the policy over the entire mortgage term (perhaps 25 years) had been explained to them, how long the policy would actually pay out for (12 or maybe 24 months) and that it would not pay out at all after a certain time (possibly 5 years) that anybody capable of getting a mortgage would have been daft enough to take such a policy out.

Explaining the policy is one thing however this was over shadowed by the way the policy was sold, meaning that the poor customer would probably only remember a limited number of positive points rather than dwelling on anything negative.

Wonaton

If you have been mis sold ppi through AWD / Carrington Carr, and it was L&G , Contact L&G direct . I did and they were superb , extremely fair , and were not shy when it came to compensation . For a £7500 policy , we were compensated almost £19000, and got 100% of our payout

cdone

hi ive found some paperwork on a policy that was with awd and it was also L&G just some advice needed can I make a claim even if I claimed on the policy or does it make it void

thanks

dunstonh

cdone wrote: »

hi ive found some paperwork on a policy that was with awd and it was also L&G just some advice needed can I make a claim even if I claimed on the policy or does it make it void

thanks

You can complain still if you have made a claim but you need to be aware that most reasons you could give wont apply. You cant say you didnt know about it or that you didnt need it or that you were not eligible. The claim payout proves otherwise.

Also, if your complaint is successful, they will deduct the amount of the claim from the redress.

Finally, L&G only have liability for the ones sold after January 2005. Not before that date.

cdone

dunstonh many thanks for your reply


cd