PPI on Mortgage

nursey07

hi, was wondering if i can be pointed into the right direction with ppi's.
when we took out our mortgage nearly 8 years ago we were told by our "independant" advisor (turns out he wasnt so independant and sold us the ppi from his company which was Zurich, misled again!) that it was required that we must have an insurance to cover our mortgage incase of illness or accident...so 7 years and a car crash later we attempted to claim from this insurance as my partner was off work due to the car crash, basically we were told that we couldnt claim and were told we cant cancel the policy!?
is it possible to claim the ppi from this??
we didnt want it, we dont need it now as i work for NHS therefore dont need it as im payed when off ill and we cant cancel!!
to be honest i have the forms ready for a company to see if they can claim it back however this totals to alot of money and would prefere not to give them such a large amount of money if i can do this myself. how long do these claims take???

sorry to blether on......any answers would be very much appreciated!

magpiecottage

nursey07 wrote: »

hi, was wondering if i can be pointed into the right direction with ppi's.
when we took out our mortgage nearly 8 years ago we were told by our "independant" advisor (turns out he wasnt so independant and sold us the ppi from his company which was Zurich, misled again!)

That sounds like a member of Zurich Advisory Network - he would have been independent with respect to mortgages but not insurances.

that it was required that we must have an insurance to cover our mortgage incase of illness or accident

Apart from this being difficult to prove, there are two meanings for "must". If you buy a house you "must" insure it because your mortgage lender makes it a condition of the loan. Once you have paid it off nobody will insist that you insure it but you "must" do so because you could not afford to rebuild it if it was destroyed.

so 7 years and a car crash later we attempted to claim from this insurance as my partner was off work due to the car crash, basically we were told that we couldnt claim and were told we cant cancel the policy!?

That would seem, on the face of it, to be grounds for complaint against the insurer rather than the salesman. However, it could be that it means the policy was a 5 year one paid for by a single premium added to the loan.

we dont need it now as i work for NHS therefore dont need it as im payed when off ill

That is not relevant to a complaint about the sale as it is your circumstances when you took it out that counts.

to be honest i have the forms ready for a company to see if they can claim it back however this totals to alot of money and would prefere not to give them such a large amount of money if i can do this myself.

A CMC will stand no chance with this because they simply send out standard letters. As it was 8 years ago, it was pre regulation. Zurich will say it was the broker and the broker will say we are not covered by FOS.

However, I think there IS a way that you MIGHT be able to get redress.

First, though, I need to know the name of the firm (and preferably the individual) that sold you the policy.

dunstonh

when we took out our mortgage nearly 8 years ago we were told by our "independant" advisor (turns out he wasnt so independant and sold us the ppi from his company which was Zurich, misled again!

He wasnt independent full stop. There was some research a couple of years ago that found half the people seeing tied agents thought they were seeing independents. It's a pain for those that are independent as tied agents are the cause of so many problems. Yet we get tarred with their errors. A common thing that whole of market mortgage advisers do is use the fact they can search the market on mortgages to give the impression that they are whole of market on everything. Unless the person says they are independent and the disclosure forms verify that then they are not.

is it possible to claim the ppi from this??

You can put in a complaint but it is a very weak complaint. It is a verbal allegation that you probably have no proof on. Plus, is the Zurich plan even PPI? Zurich offered life assurance, critical illness and PHI (a better type of income protection and what you describe could be PHI and not PPI).

pink7*

Hi, has anyone made a claim about missold ppi for right to buy mortgage from Regency?
My parents are trying to claim from them but have contacted a number of companies who now deal with the ppi and mortgages for regency but they have so far all responded saying they dont deal with it. I know regency are now dissolved so there is no direct contact for them, has anyone got any ideas how to progress this?

dunstonh

Hi, has anyone made a claim about missold ppi for right to buy mortgage from Regency?

Who are regency? The broker? The lender?

My parents are trying to claim from them but have contacted a number of companies who now deal with the ppi and mortgages for regency but they have so far all responded saying they dont deal with it.

Mortgage PPI has a far lower complaint success rate as it is generally considered the one PPI worth having and in most cases, it is set up correctly (monthly premium) and people are sold it under an advice process or DIY rather than a sales process. This means an audit trail usually exists. So, it needs a good solid reason for complaint and not one that relies on luck and missing paperwork most of the time. Plus, those sold via adviser/brokers meant that most sales didnt become regulated until 2005 (not all but most). So, pre 2005 cases cannot be complained about.

madmabel

I am delighted - received letter today stating they have upheld my complaint and offering refund of all premiums plus interest. Over £9000 - am very happy to say the least :j

Thanks for all the support and advice on this site.

Just waiting now on two Lloyds TSB loans, CapOne credit card and BOS preference account.

mummyjanine

up until last year i had a mortgage with Brittania Building society. In order to proceed with the mortgage we were told that the payments had to be backed up with life insurance before it went ahead. We took a policy with scottish widows and then forwarded details to BBS. as advised. Although the monthly payment was only five pounds , the underlying issue is that both myself and my husband receive sick pay from our employers and I have a decent death in service package etc. This was never questioned .
Do I have a claim under the misselling of ppi rules and if so , to whom do I address my claim.
Thanking you in anticipation of some help.

dunstonh

In order to proceed with the mortgage we were told that the payments had to be backed up with life insurance before it went ahead.

That was a very common requirement for lenders. It is allowed and not a reason for complaint.

Although the monthly payment was only five pounds , the underlying issue is that both myself and my husband receive sick pay from our employers and I have a decent death in service package etc. This was never questioned .

sick pay is irrelevant and death in service is a discretionary payment designed to go some way to replace lost income and pension benefits. Not really suited for debt coverage for most people (especially married couples). Plus, you cannot assign death in service but you can term assurance.

Do I have a claim under the misselling of ppi rules and if so , to whom do I address my claim.

No you dont. 1) life assurance is not PPI. 2) your reasons for complaint are easily rejected. 3) it appears you bought the insurance elsewhere. So, the lender has no liability for that.