Business Loan Protection Plan

Lawnman

I took out a small business loan with HSBC in 2008. I was told I had to take out Business Loan Protection at the time and that the loan was conditional upon me doing this. The premium for this was just over 10% of the loan value. Having now read the small print it appears that the insurance should have been optional. Can I claim back the insurance in the same way as one would reclaim PPI? If so is the process the same?

roonaldo

Insurance was never a condition of a loan in 2008.
Have you any evidence to back this up? as it will refer to the PPI being optional on your paperwork.

Lawnman

The paperwork which I have states that it was optional but I was told at the time that it was a condition of the loan and that I had no choice other than to have it added on to the loan. As I needed the loan at the time I accepted it without quibble and only read the small print on the agreement recently given all of the publicity given to PPI.

roonaldo

based on what you have said your complaint will fail, as it says on the paperwork it is optional and you were only told verbally you were told you had to have it, which cannot be proved.