Front loaded?

Sarah-Lou

Hi,

I have my forms filled in and ready to send to Welcome Finance, am just a bit confused as to whether my ppi was front loaded or single premium, and what the difference is! The payment made each month was for the loan and the ppi and was made as one payment.

Am claiming we were mis-sold as were told we would not get the loan if ppi was not taken with the loan,do you have more chance of success if it was front loaded or single premium, or doesn't it make any difference?

Many Thanks.:)

roonaldo

Front loaded is single premium, the insurance premium of £x is put on top of the loan amount and it incurs interest.

The other type of PPI was monthly PPI, which Welcome certainly wouldnt have sold you.

[Deleted User]

Sarah-Lou wrote: »

Am claiming we were mis-sold as were told we would not get the loan if ppi was not taken with the loan,do you have more chance of success if it was front loaded or single premium, or doesn't it make any difference?

Front loaded PPI is the most upheld complaint at FOS. It means the cost of your insurance was added to the loan amount at the outset so that you paid interest on the total of both!
Your (main) complaint is simply "hearsay" which will be rejected since it cannot be proven.

Rewrite your complaint form giving due prominence to the Front Loading.

Cazzad_2

Hi Roonalo,

I had a car loan with welcome and my monthly repayment was £246.04, which included £47.47 for PPI and interest and the HP of £198.57 including interest.

Why wouldn't welcome charge it?

[Deleted User]

Cazzad wrote: »

Hi Roonalo,

I had a car loan with welcome and my monthly repayment was £246.04, which included £47.47 for PPI and interest and the HP of £198.57 including interest.

Why wouldn't welcome charge it?

Roonaldo was saying that Welcome wouldn't have charged for a separate monthly PPI payment. It would have been front-loaded onto the loan and paid as a single monthly premium.