Mppi

pamela.

Hi
I am new to this forum and have joind so that I can get advice on reclaiming MPPI sold to me (without my Knowledge) on a Nationwide mortgage in 1991. I have just had a letter from them saying they do not agree with my claim that I was miss sold MPPI. The whole letter is full of wrong information. I am so cross I could do somebody a damage :mad:. My first question to the forum is, would I have been eligible for a claim on a policy if I was sold the policy when my mortgage was being paid through Income Support? Hope my question makes sense.

di3004

Hi and welcome

Will leave this one for Dunstonh & MagpieCottage who know more about these MPPI polices, I expect they shall be along at some point today.

Wishing you luck.

ALIBOBSY

When you contacted them did you use the FOS questionaire or just write a letter?
Is this a final response from them or just and initial letter.

If their response is full of inaccurancies its worth challenging point by point-it may be that they have sent a standard "get lost" letter and by prompting them they might reconsider.

The banks are much more reticent to pay up on MPPI as they can (rightly) argue that for these types of loan that they could and did insist on some kind of policy along side it. However they all virtually without acception failed to tell customers that they could shop around and get the policy elsewhere.

I won my MPPI back, but I had good evidence that supported my statement. We were told we had to take THEIR MPPI.
When really pushed the guy selling us the mortgage admitted we could shop around for the buildings/contents and we did do just that, but we were told the MPPI HAD to be theirs. The fact that our mortgage offer has a note in my handwriting about this, plus the proof of the going elsewhere for the other insurances left them little wriggle room so they just coughed up.

So get together all the evidence you can and challenge it.

Good Luck
Ali x

pamela.

When I first contacted them I used the FSO letter. The response letter says at the end that it is their final response. The letter also states that they have reviewed all the evidence but they have still got things wrong. The letter says I was working at the time I took the mortgage, I was not, I was on Income support and was a student. The letter says I had 1 dependent, I did not I had 2. It says I requested the MPPI, I hd never heard of it until all this started in the press. He says I had renewal notices, I never did!!!!! I am so CROSS!!!!!!!!!

antrobus

OK I'll bite. How do you get a mortgage when you're on income support and are a student?

pamela.

Lol. This was in 1991 and I did have half the value of the property in equity.

dunstonh

I am new to this forum and have joind so that I can get advice on reclaiming MPPI sold to me (without my Knowledge) on a Nationwide mortgage in 1991.

So, why did you not complain when you saw the first payment go out over 20 years ago? Your delayed complaint is certainly working against you as it doesnt sound at all credible and just looks opportunistic.

My first question to the forum is, would I have been eligible for a claim on a policy if I was sold the policy when my mortgage was being paid through Income Support?

This would not have been an MPPI in 1991 but an ASU. Subtle differences but some would pay out a nominal amount even if you were a housewife. (obviously not cover unemployment but would cover incapacity).

1991 is pre credit boom. Equity did help but you still needed to have an income to support repayments.

pamela.

I didnt complain because I didnt see the payments go out! I didnt have an income, I had an endowment mortgage, Income support paid the mortgage bit and I paid the other bit.
Another point before you raise it is, I have not started a PPI complaint until now because I was not aware I had paid PPI. My step daughter used to work for a building society and explained to me that I could have done without knowing. I rang the Nationwide and to my amazement I was told I had.

pamela.

Im sorry if I sound a bit dim but I didnt know I was paying anything other than a mortgage. To be told I was paying for something I didnt ask for was bad enough! But then to be called a liar by the very people who have stolen from me and thousands of others has really annoyed me!

magpiecottage

In 1991 I regularly placed mortgages. To do so, either it had to fit the specified criteria of the lender - in most cases 3 times the larger income plus one times overtime and the income of the other mortgagor.

You could get one if without proof if there was enough equity but you would still have to certify that you were earning sufficient.

So the, on the balance of probability, I would say that, whether they asked for proof of lending or not, the Building Society was told you were earning.

Consequently, it looks like either you told the building society that you were earning an income in 1991 when you were not OR that you told them in 2012 that you were not earning an income in 1991 when you were.

Either of these would amount to fraud.

At present, they cannot prove which it is so they would not easily be able to take the matter further.

However, if you take the matter further then the rope will continue to pay out and you may just hang yourself.

This may not be what you want to read but I am simply reflecting the message you are giving.

pamela.

Well I dont know what to say to that! I did not tell them I was earning a wage when I got the mortgage. They rang and asked me for proof that I was a student so I sent it them. I was working when I took out a further advance with them in 2001. When I got the mortgage my existing mortgage was being paid by IS. Moving house was forced upon me by a marraige break up.

I really dont know what else to say except I DID NOT LIE, and im not lying now!