HSBC Mortgage PPI Claim

ytfc2012

Newbie here looking for some advice! I was working on short term contracts via a Recruitment Agency (called Reed) in 1999 for a Company. I then worked at the same company via another Recruitment Agency (called Westaff) from April 2001. I then took out my first mortgage with HSBC in Aug 2001 and alongside the mortgage I also was advised to take out the following policies:

• Mortgage Protection Plan inc Critical Illness Cover
• Individual Income Protection
• Mortgage Payment Protection

Looking through my policies (yes I still have all of the paperwork) I noticed that the Mortgage Payment Protection Plan would not cover Temporary Working (HSBC classed this as work via an Recruitement Agency). It would cover Fixed Term Contracts but only if you had been consecutively employed by the same employer for 24 months. Therfore, would my employement status be classed as temporary and therfore was sold a policy that I was not eligible for? Or would it be classed as Fixed Term Contracts - but even in this case I was only employed by Westaff for only 4 months prior to taking out the mortgage and all of the above policies so therefore would have once again been excluded from ever making a claim?

Any advice would be great as it seems to me I was sold a Mortgage PPI that I could never claim on and therefore was mis-sold MPPI. I believe that the other Policies (Mortgage Protection Plan inc Critical Illness Cover & Individual Income Protection) are not PPI but are more Life Assurance policies for sickness, critical illness etc and would not be dependent on Employment status so would have unlikely to have been mis-sold in my case - however, what do you guys think in regards to the Mortgage PPI? I also had my parents on the Mortgage as Gaurantors - but not sure if that meant that I did not need all of the above Protection Plans/ Policies or whether that has no revelevance? Thanks for you advice!

dunstonh

Any advice would be great as it seems to me I was sold a Mortgage PPI that I could never claim on and therefore was mis-sold MPPI.

if you believe that is the case then you put in a complaint on that basis.

I believe that the other Policies (Mortgage Protection Plan inc Critical Illness Cover & Individual Income Protection) are not PPI but are more Life Assurance policies for sickness, critical illness etc and would not be dependent on Employment status so would have unlikely to have been mis-sold in my case

correct

however, what do you guys think in regards to the Mortgage PPI? I also had my parents on the Mortgage as Gaurantors - but not sure if that meant that I did not need all of the above Protection Plans/ Policies or whether that has no revelevance? Thanks for you advice!

That actually increases the need to have such policies and cements the advice in relation to those.

It is just the MPPI that you may have grounds on here.

ytfc2012

dunstonh wrote: »

if you believe that is the case then you put in a complaint on that basis.


correct



That actually increases the need to have such policies and cements the advice in relation to those.

It is just the MPPI that you may have grounds on here.

Thanks dunstonh! Could you possible advise on my MPPI claim in regards to my employment status at the time of taking out the Mortgage and MPPI also whether in your eyes it is a good case for a mis-sold PPI?!

dunstonh

Basically, you just need to send in a short and sweet complaint saying what you have on your first post. i.e. that you believe it was unsuitable due to your temporary work contract which would have prevented any payout on unemployment cover and that you wish the premiums to be refunded as the plan was unsuitable.

No need for war and peace. No need for agreements or copy docs. Just a straightforward couple of sentences.

I dont know the terms of their contract but usually temp workers are excluded. So, you would expect a result on this one.

ytfc2012

Thanks dunstonh! I have already made a claim direct with HSBC for the Mortgage Repayment Protection Plan and their 8 week deadline is up in the next few days. I was just looking for advice as to the strength of my claim and the likelihood of it being successful due to the employment status issue. Await response from HSBC with baited breath!

roonaldo

out of interest, how did you get the mortgage let alone ppi being a temporary worker? or is that the reason for the guarantor?

having a guarantor isnt a reason not to have ppi.

ytfc2012

roonaldo wrote: »

out of interest, how did you get the mortgage let alone ppi being a temporary worker? or is that the reason for the guarantor?

having a guarantor isnt a reason not to have ppi.

I started work at Company A in 1999 via an Agency called Reed on short term contracts (6 months) that got extended each time. I then moved across to another Recruitment Agency (Westaff) in April 2001 but still working at Company A. Therefore, I could prove to the Bank that I had continuous employement working for over 18 months. I'm guessing that due to my employment status that their required my parents to be gaurantors. However, once I have looked at the PPI policy it now seems clear that I would have not been covered due to being a temporary worker or on a Fixed Term contract with 24 months consecutive employment with the SAME employer - it was only 4 months from working through Westaff that I took out the mortgage!

roonaldo

ytfc2012 wrote: »

I started work at Company A in 1999 via an Agency called Reed on short term contracts (6 months) that got extended each time. I then moved across to another Recruitment Agency (Westaff) in April 2001 but still working at Company A. Therefore, I could prove to the Bank that I had continuous employement working for over 18 months. I'm guessing that due to my employment status that their required my parents to be gaurantors. However, once I have looked at the PPI policy it now seems clear that I would have not been covered due to being a temporary worker or on a Fixed Term contract with 24 months consecutive employment with the SAME employer - it was only 4 months from working through Westaff that I took out the mortgage!

you are correct, you wouldnt have been covered which should be the reason why a complaint should be upheld.

ytfc2012

I have received a very detailed response back from HSBC rejecting my claims against the Mortgage Protection Plan inc Critical Illness and Individual Income Protection. This was a very thorough report considering it was back in 2001 that I took the mortgage out and I must say the reasons behind why these policies were suitable for myself and my circumstances at the time all seem reasonable. I am still waiting to hear back about the Mortgage Payment Protector (MPPI) but I have had my HSBC Loan Protector claim upheld so am hopeful of the same with the MPPI as it was all to do with being a temporary worker. Hopefully might have some good news arriving on my doorstep today in regards to the Loan PPI.

dunstonh

ytfc2012 wrote: »

I have received a very detailed response back from HSBC rejecting my claims against the Mortgage Protection Plan inc Critical Illness and Individual Income Protection. This was a very thorough report considering it was back in 2001 that I took the mortgage out and I must say the reasons behind why these policies were suitable for myself and my circumstances at the time all seem reasonable. I am still waiting to hear back about the Mortgage Payment Protector (MPPI) but I have had my HSBC Loan Protector claim upheld so am hopeful of the same with the MPPI as it was all to do with being a temporary worker. Hopefully might have some good news arriving on my doorstep today in regards to the Loan PPI.

You would expect life assurance and CI to be easily defended as the audit trail would be much better and it is hard to say you dont need it in most cases.

ytfc2012

I have received my offer letter in regards to the Personal Loan Protection and I just have a few queries as I'm not sure how they got to that figure?! The PPI Premium Redress value doesn't stack up with the value or time period I was thinking. They give me no further breakdown of how they came to this figure - do they have to provide me with a breakdown i.e Monthly Premium paid, dates and months paid etc. As this loan was repaid early and consolidated into a remortgage would this value be a settlement figure that I had to pay for repaying early and the remaining was rebated? Also they did not investigate my claim that I did not receive any rebate nor did they consider interest payments incurred for any PP carried over into the Re-mortgage. Any suggestions?