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Advice Needed

We took out a business loan and was told that we had to take an insurance policy out to cover the loan
It was not called a PPI but a Decreasing Term Assurance.
I remember thinking at the time this is not right but had no choice as it was compulsary if we wanted the loan

Would anyone know where I would stand with this as it was not classed as a PPI or where I could go to find out if it was ok for the bank to do this.

Thanking you for any help given

Comments

  • dunstonh
    dunstonh Posts: 121,174 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Would anyone know where I would stand with this as it was not classed as a PPI or where I could go to find out if it was ok for the bank to do this.

    You havent indicated any wrong doing.
    I remember thinking at the time this is not right but had no choice as it was compulsary if we wanted the loan

    Banks are allowed to insist on insurance. It is very common for business loans to require life assurance as a form of security. That is not grounds for complaint.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
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