loan protection

kennyabs

how do i complain about the misselling of my loan protection,
Im self employed and now realise the wont pay out,cheers kenny

jonesMUFCforever

It may not pay out for employment claims but what about other benefits eg sickness, life assurance should you die etc?

melvin_2

kennyabs wrote: »

how do i complain about the misselling of my loan protection,
Im self employed and now realise the wont pay out,cheers kenny

We to have loan protection. We thought we were doing the right thing just incase anything happened to my husbands job but when we came to remortgage we thought we could pay it off and add it to our new mortgage. When we requested a settlement figure they actually included the loan protection as an additional loan. We are very confused as we thought that an insurance protection ends when you pay the loan off not that it is added on to your original loan amount. Is this legal. The only bonus is if you can call it that is that after 5 years if we havnt made a claim we get back all of what we have put in. (only 4 years to go!!!!!!) Trouble is the loan rate is much higher than our mortgage rate.
Has anybody else experienced this.Oh the loan is with Barclays.

jonesMUFCforever

What you have done is swap a loan with payments lasting say 5 years to a debt where you will now be paying for the lifetime of the mortgage!!

IMO Not a good way of getting out of debt.
When you take out a Personal loan with PPI the insurance is lumped onto it to give a total outstanding figure. If you repay early you are supposed to get some refund of this premium.

melvin_2

ejones999 wrote: »

What you have done is swap a loan with payments lasting say 5 years to a debt where you will now be paying for the lifetime of the mortgage!!

IMO Not a good way of getting out of debt.
When you take out a Personal loan with PPI the insurance is lumped onto it to give a total outstanding figure. If you repay early you are supposed to get some refund of this premium.

Thanks for the advice not very good at this money thing.We havnt actually put it on the mortgage we left it as it was. I rang barclays this afternoon and asked if i could cancel the ppi they said i could. They are going to send me new payment details. Also just found out that the apr is going up to 9.2% so hopefully i would be better to look for a loan with a cheaper rate. Thanks again.:eek:

regularsaver1

Some PPI companies do offer cover against self-employed. its just oftenb the presumption that they won;t