Update on my PPI claim through Legal & General (sold by AWD HOME FINANCE)

oliviasmummy

Well after just over 6weeks since we sent our complaint to Legal & Generalwe received a letter yesterday offering a refund of the policy in full including interest on mortgage payments plus £600 on 8% simple minus the £56.77 refund we will get from the insurance company totalling £10,564!!!!!!! Needless to say we have sent back the reply accepting the offer and should have the money I our account within 14 days.
They declined the complaint for the fee that AWD charged us for their advice saying that the financial times were different in 2007 to what they are today and that the advisor was regulated by the FSA. De to our current situation with the boiler and having no hot water other than the boost button we have decided not to take this any further and just accept the offer as this will allow us to have central heating fitted with the interest side and still pay off the lump sum on the mortgage.

Only problem I have had so far is that when I called the insurance company to cancel the premium they tried to hang up on me when they said,"that's fine you will receive confirmation in post with no mention of a refund. " I said what about the refund and was put on hold for her to check!! She then came back and said you will receive it in the post via chequewith paperwork. But they haven't changed my name on the policy even though I sent them a copy of my marriage certificate nearly 5 years ago. It isn't even the same company we took the insurance out with but we were never notified of that. So my question now is will I be able to pay the cheque into our account if my account is in my married name but the cheque is in my maiden name if I take my I'd and marriage certificate?

morleyslass

So happy for you, we were in a similar position, we were contacted by awd in 2007 and told they could get us a great deal. I was 5 month pregnant and in rather a vulnerable position money wise. The advisor convinced us to remortgage and consolidate all our outstanding finance, take out wills, life cover, critical illness and ppi. Most of which they added onto our mortgage. We are now £4000 in arears with a £105,000 interest only mortgage on a house that's worth about £90,000. We were days away from being repossessed and scared out of our minds. Weve managed to come to an agreement with a thankfully understanding mortgage company. I have just completed our letter to legal and general and hope to pay our outstanding arrears off with the claim on our single payment ppi. Thank you oliviasmummy as I only googled awd and it came up with your post on here which has given me the strength to pursue my claim x

oliviasmummy

Your welcome I hope you are just as successful we are in a similar position but have managed to stay even with the mortgage payments but on dmp paying the rest. Would love to spend the money on other things but having learnt the hard way we are gonna pay that off the mortgage to at least not have that burden. It only took 6 weeks for final letter received confirmation letter about 3weeks after we sent it then they phoned to discuss claim then had letter within 10 days massive good luck x

magpiecottage

oliviasmummy wrote: »

They declined the complaint for the fee that AWD charged us for their advice saying that the financial times were different in 2007 to what they are today

That is no reason to pay up front - it is extremely poor advice.

and that the advisor was regulated by the FSA.

That is untrue, AWD was NEVER regulated by the FSA, rather it was an Appointed Representative of Legal & General. Therefore Legal & General is responsible for it rippling you off.

De to our current situation with the boiler and having no hot water other than the boost button we have decided not to take this any further

Are you sure this is not simply an issue with your controller? Simply having that replaced may solve your problem less expensively than an entire new system.

and just accept the offer as this will allow us to have central heating fitted with the interest side and still pay off the lump sum on the mortgage.

Only problem I have had so far is that when I called the insurance company to cancel the premium they tried to hang up on me when they said,"that's fine you will receive confirmation in post with no mention of a refund. "

I would be inclined to write to Legal & General telling them:

1. You accept the offer in respect of the PPI with the proviso that they may withhold no more than the actual amount of any refund given by the insurer
2. On receipt of professional advice from a compliance consultant (me!) you maintain that the advice to recommend an up front fee for future mortgage advice was misleading because it was never explained that this would involve borrowing considerably more than necessary, and paying interest on that amount for the entire mortgage. Additionally, the AWD will not now be able to deliver on that promise. Furthermore, L&G knows full well that AWD was never directly regulated by the FSA and, as an Appointed Representative of L&G, it is L&G that must redress you - and if it refuses you will go to the Financial Ombudsman Service.

awsergio

well done on the offer!!

Just one quick question as im waiting for an offer from legal and general, have they taken into account the interest you will have to pay over the remainder of your mortgage account?

Graceful_Battlemaid

Hi, I've got my letter through telling me that I bought a PPI policy through AWD in 2008. I had no idea I had this policy. I've just spent the last 12 months off work sick following 3 major operations in a row and fought my employers tooth and nail every step of the way to keep my pay, because I didn't realise I had cover. Anyway, now I'm back on my feet and have been back at work for 6 weeks, I find out I had paid for an upfront policy without realising it!

SO, to get to the point - I've read pretty much everything on here about reclaiming - but can anyone tell me which is the best address for Legal and General?

Thank you!

morleyslass

Just a quick update we've just received a letter offering us our money back plus interest and mortgage interest. The letter said we were definitely mis-sold due to our financial situation at the time. We can now thank fully pay off our mortgage arrears and hopefully soon be able to get off this interest only mortgage that Awd put us on. Thank you oliviasmummy for spurring me on with my claim x

magpiecottage

Well done!

rogerex

morleyslass wrote: »

Just a quick update we've just received a letter offering us our money back plus interest and mortgage interest. The letter said we were definitely mis-sold due to our financial situation at the time. We can now thank fully pay off our mortgage arrears and hopefully soon be able to get off this interest only mortgage that Awd put us on. Thank you oliviasmummy for spurring me on with my claim x

Hi could you kindly share with me how did you start this process? I do have a direct debit coming out of my account to Legal and General and this is form when we took our first mortgage 2 years ago; I was told I needed this to make sure we got mortgage approval.

Many thanks for yur help in advance

dunstonh

rogerex wrote: »

Hi could you kindly share with me how did you start this process? I do have a direct debit coming out of my account to Legal and General and this is form when we took our first mortgage 2 years ago; I was told I needed this to make sure we got mortgage approval.

Many thanks for yur help in advance

Mortgage insurance has low rates of success. The fact they are monthly premium eliminates a major complaint reason. It is covering a major debt with lifestyle changing consequences if it is not paid which increases its importance and most people do take out insurance for their mortgage. So, what makes you think you are different?

You mention L&G. L&G do many types of insurance. What type is it you want to complain about?

Was it sold by an L&G rep or an IFA or bank? L&G reps are very common in estate agents and their pricing model requires you to buy insurance to get free mortgage advice. That is allowed. So, if you used an L&G rep then you havent been mis-sold on that basis.

reindeerporto

Can anybody please advise the best way to make your claim against awd/legal and general, reading the several forums about this company I am sure we have been ripped off as well, ppi, and set up fees all being added to our mortgage. The only problem is I don't know where to start or should I use one of the no win no fee companies?? Thanks in advance for any help. The mortgage was taken out in 2008/2009.