Abbey/Santander Mortgage PPI (Paymentcare)

sussexbhoy

In 2003 when I took out my mortgage I told the advisor I didn't require the PPI, but was told "I had to have it to get the mortgage" even though I wasn't happy with taking it out I did on the advice of the advisor. It was explained to me that it was a sickness cover and there was never a mention of it covering redundancy (I now know different and it covers redundancy as well). when I was made redundant in 2008 I called santander for some advice and they said I should take a payment holiday on my mortgage as this would give me some "financial breathing space" whilst I looked for work. I found work 3 months later and carried on paying my mortgage as usual. knowing what I know now i'm wondering if i have a valid claim for a mis-sale as A. I never wanted the PPI, but was told I had to have it and B. when it should have payed out I was advised to take a payment holiday and there was never a mention of the PPI.
Any advice would be greatly received as I think I have a case but don't want to waste mine or the banks time if i don't.

magpiecottage

Who did the adviser work for?

Do you have any evidence that you were told you must have the policy to get the mortgage?

dunstonh

In 2003 when I took out my mortgage I told the advisor I didn't require the PPI, but was told "I had to have it to get the mortgage" even though I wasn't happy with taking it out I did on the advice of the advisor.

Whilst that is a mis-sale reason (assuming it wasnt actually required. It has been required in some cases and that would make it a valid sale) it is virtually impossible to prove it.

Any advice would be greatly received as I think I have a case but don't want to waste mine or the banks time if i don't.

You say adviser. Was this actually an adviser or are you just using that phrase?
The FOS figures for 2011/12 show that just 0.2% of complaints with them are advised cases. Whilst an adviser can mis-sell anything potentially, advised cases typically have much better audit trail and needs analysis, factfind etc. All the things that loan or credit card PPI tends to be missing. If adviser, was it an Abbey adviser or a broker?

sussexbhoy

I have no evidence at all that I was told I had to have the PPI so I guess it would be my word against the bank on that one.
The adviser worked for Abbey everything was done at the branch with a man who worked for Abbey.
My main concern is the advice I was given over the phone when I was made redundant it seems like they were trying to get out of paying out which realistically would render the PPI useless at the time.

dunstonh

I have no evidence at all that I was told I had to have the PPI so I guess it would be my word against the bank on that one.

And on the assumption that the bank has no evidence to suggest any wrongdoing took place, you would expect a rejection if that was the reason. That is the outcome most people in this situation would get.

The adviser worked for Abbey everything was done at the branch with a man who worked for Abbey.

If it was an adviser and not a clerk then you would expect a better audit trail. Doesnt mean there is but it would be expected. Statistically, advised cases have a far lower success rate on complaints than non-advised cases.

My main concern is the advice I was given over the phone when I was made redundant it seems like they were trying to get out of paying out which realistically would render the PPI useless at the time.

That is not a mis-sale reason. That is a valid complaint to make about an event that happened long after sale. Mis-sale relates to the sale of the policy.

sussexbhoy

Ok, many thanks for the input, I think I'll give Santander a call and take it from there.

sussexbhoy

Well i called Santander about my mortgage PPI and they sent a letter within 2 days saying they were going to investigage but it could take up to 8 weeks, and today i've had a letter saying they are upholding my complaint and are offering me just over £6000 in repayments and interest, so I just need to sign the acceptance form and send it back.

dunstonh

That is very quick. Did they give a reason for upholding? The figure seems to high to be an auto payout (although timescale is). I wonder if they had the phone call on file and that was the killer for them.

sussexbhoy

I too thought it was quick (not that i'm complaining about that), the letter just stated "Having considered the information available to me". Personally I think the phone call was still on file and this probably tipped the balance in my favour for my claim to be upheld.