Lloyds TSB decision?

Liz7

Hi, I recieved a complaint conclusion letter from Lloyds TSB today covering 5 loans which they say are upheld in part. There reason for this is they say a single payment premium was not suitable to my needs. However they say they can find no other failings with the sale of the PPI's and believe that I needed to protect the loan payments and would have purchased a regular premium policy at the outset if it had been available. Therefore their offer is the difference between what I actually paid and a regular policy. I am confused as my complaint was about being sold a PPI I didn't need as I felt it was something I had to have to be given the loans, I wouldn't have taken out PPI at all if I knew it was an option. Any advice on what I should do next would be appriciated. Thanks

dunstonh

I am confused as my complaint was about being sold a PPI I didn't need as I felt it was something I had to have to be given the loans, I wouldn't have taken out PPI at all if I knew it was an option.

That is a weak complaint reason and they have found no evidence to support that. What evidence do you have to support that allegation?

Any advice on what I should do next would be appriciated.

The FSA guidance is that where no wrong doing has been found apart from single premium, then converting it to regular and paying the difference is what should be done.

Liz7

Thanks for your response. Can I clarify, I'm sorry I am really not clear, if I was sold a PPI believing I had to have one as it was part of the loan (it was already in the paperwork I believed I had no option) then converting to a regular is okay then. Would I have had to accept a regular PPI at the time then if it had been explained to me? I thought the point was I might not have had to have one at all?

[Deleted User]

Your original post is clear.

Just to reiterate, the Bank have not found in favour of the (really weak) complaint you made about your PPI being compulsory. You offered no evidence of this in your complaint (how could you have?) and the bank found no evidence of this during their investigation.

Instead , the Bank are offering the difference between the cost of a single premium policy and a correctly set up separate premium.

It's your choice whether to accept this offer.

Liz7

Thank you for your response. I'm clearly a newbie here and never have been very good with money. I'm not so sure why my complaint is so weak? I took the advice I thought from this forum, my mistake clearly although it's the truth. If I don't accept the offer and try for more, would that mean if I was not successful I wouldn't get this offer? Any suggestions as what I should do would be welcome. Thanks in advance.

dunstonh

I'm not so sure why my complaint is so weak?

It is weak because it lacks any factual evidence. It is an allegation. They have found nothing to support your allegation. You have given nothing to support your allegation.

A complaint where you are not eligible or had no financial need are stronger complaint reasons. Unprovable allegations are the weakest complaint as evidence rarely exists to support them.

If I don't accept the offer and try for more, would that mean if I was not successful I wouldn't get this offer?

If it is a goodwill offer, they can withdraw it. If its an upheld complaint on that particular reason, they cant. They tend to not withdraw offers like this though.

Liz7

Thank you for your patience. So it would appear as I was eligable for a PPI, as by their response, I did in fact have to have one as I have no evidence as to why I would have chosen not to if given a choice.

I really do appriciate your time tonight. I will give them a call tomorrow and see if I can explore any further.

worried48

Unless it is a final response, you can write again giving more evidence, if you can. Or you can go to the ombudsman.

amersall

Liz7 wrote: »

Thank you for your patience. So it would appear as I was eligable for a PPI, as by their response, I did in fact have to have one as I have no evidence as to why I would have chosen not to if given a choice.

I really do appriciate your time tonight. I will give them a call tomorrow and see if I can explore any further.

If you had life insurance, a good sick package from work, maybe a good redundancy package or other means of repaying this loan should the worst happen, you need to tell them this as this would make the "other cover" that they have taken off you pointless really, why would you cover yourself twice for everything?.