Lloyds TSB Loan PPI not upheld/rejected

punkgirlyuk

Hello,
My partner has just received a rejection letter from Lloyds TSB. His claim is on the basis that he was not explained the policy properly as he would have had 6mths full pay for sickness at work and a good redundancy package.
He is still paying his loan and it was a Single Premium ppi, can he ask to cancel the PPI on the loan now? If he is not allowed to do this then can this be another aspect to our complaint?
Thanks

punkgirlyuk

Just been reading up some more on this and my partner only has 2 months left on his Loan so not likely to be allowed to cancel. Though he submitted his complaint 2 months ago

AncientOfMu

If it was thier final response on the matter send it off to the FOS.

It means a long wait but at least it will be looked at properly by the FOS.

Cheers

Mu

punkgirlyuk

Not sure if i can go down the front loaded route? The premium was added to the loan then interest was calculated, so he paid interest on the ppi insurance. Am i correct in saying this is a reason why some complaints are being upheld?

-taff

Yes, correct

magpiecottage

punkgirlyuk wrote: »

Hello,
My partner has just received a rejection letter from Lloyds TSB. His claim is on the basis that he was not explained the policy properly as he would have had 6mths full pay for sickness at work

That would not normally result in an uphold.

and a good redundancy package.

That is most unlikely to result in an uphold because PPI will normally payout anyway and no redundancy package is guaranteed.

He is still paying his loan and it was a Single Premium ppi

Unless the full implication of this was explained at outset - particularly the full cost over the loan term (and if applicable that the policy would expire before the loan ended) then this is likely to be a cause for the complaint to be upheld.

This should have been considered by Lloyds TSB even if it was not raised in your complaint - but make sure FOS are aware of it.