Dispute over payment protection

The_Bloodster

Hi I was wondering if anyone could give me some advice for my dad.

He took out a loan through Lloyds TSB with payment protection which has about 8 months left to run. He is now out of work but has been told the protection isn't valid as he wasn't working over 16 hrs when he took out the loan and apparently this is one of the conditions.

Can this be disputed as although he did inform that this was the case when he took out the loan he was told that it was still ok to take the loan and insurance out. The bank are refusing to pay now. Does anyone have any suggestions what to do?

Thanks in advance

defender_of_the_weak

Complain to TSB and get the premiums back he has paid for this protection. If he didnt qualify then it should not have been sold. Expect the bank to weasel at length

Tootsie_Roll

defender_of_the_weak wrote: »

Complain to TSB and get the premiums back he has paid for this protection. If he didnt qualify then it should not have been sold. Expect the bank to weasel at length

Except that he probably did qualify for all other parts of the cover like death and illness.

IoweIoweitsofftoworkIgo

comments withdrawn

The_Bloodster

I got his paperwork and it doesn't say anything about working a minimum of 16hrs. He has now also against my advice used savings to pay of the remainder of the loan. Should he still go ahead and claim back the PPI which is £22.08 a month and had it for 12 months? Is there a standard letter or idea of an letter we can use anywhere

Thanks

spurs_nut

DELETE AS APPROPIATE




******************************************************




Re: account 999999999999999999999





COMPLAINT



Dear Sir or Madam,



I took out the above loan for £x,000 on dd/mm/yy. When I took it out, I signed up for Payment Protection Insurance. I phoned up on dd/mm/yy to ask to cancel it and was told that this is impossible. I am writing to complain.



Put in any of the following which apply:



[When I took out the loan, I was told that I would not have been given the loan if I did not take PPI. I have since been told that this is not true, and that you are not allowed to make PPI a condition of taking out the loan unless you include the costs of PPI in your quoted loan interest rate, which you did not do. I therefore consider that I have been mis-sold this expensive insurance, which I do not need and which I said that I did not want.]



[I am self-employed/work as a contractor/unemployed and therefore will not be eligible for any payments from the PPI if I cannot get work or am sick. My situation was known to the person who sold me the loan, however he/she did not point out that the insurance was virtually useless to me so I think that I have been mis-sold the insurance.]



[When I took out the loan, I said I did not need the PPI as my employer provides generous illness and redundancy benefits, but I was told I should still take it out. As this is not correct, I consider that I have been mis-sold this expensive insurance, which I do not need and which I said that I did not want.]



[I wish to cancel the PPI because since taking out the loan, my employment situation has changed. I am now self-employed/work as a contractor/unemployed and therefore will not be eligible for any payments from the PPI if I cannot get work or am sick.]



[I wish to cancel the PPI because I now have sufficient alternative insurance cover from my employer and other sources.]



[I wish to cancel the PPI because I am in financial difficulties and cannot afford it. I enclose a Statement of Affairs which shows this.]



I have been advised that I should be able to cancel the PPI contract at any time and receive a partial refund of the premium that I have paid. I would like to do this. [And in view of the way I was mis-sold the insurance, I would like to ask for a full refund of the whole premium.]



I would appreciate a reply to this letter within fourteen days. If you reject this complaint, I would be grateful if you could explain whether you provide an internal appeals process. If you do not, please supply me with a final response letter, so that I can take up the matter with the Financial Ombudsman Service.



Yours faithfully,