is my higher lending fee a ppi?

dunk7777

hi all
new to all of this so forgive me if ive got this wrong.
my situation is that when i took out a mortgage with abbey national now santender in september 2006 the mortgage rep said i had to include £3950:eek:which was classed as a higher lending fee and added on as one lump sum to the mortgage. when i asked him that was a bit high he said i had no choice either pay it or no mortgage.

so my question is this is this a ppi and can i claim it back?

Sarros

Hi, no I don't think so it may have been that you were classed as a higher risk. As far as I am aware MPPI is a seperate/stand alone product and the premium is not included/added to your mortgage capital. The amount you mention also sounds too small for a mortgage PPI product. I may be wrong though so hopefully someone else can confirm for you. Thanks

roonaldo

its not PPI, its a high lending charge for borrowing 75% plus (around that), if you didnt want to pay it you would have needed to put down a bigger deposit.

_Andy_

"so my question is this is this a ppi and can i claim it back?"

No

and

No

dunk7777

txs for that everyone - just to clarify the guy who sold it to me did call it an insurance policy in case i defaulted on mortgage payments but it was marked clearly down as a higher lending fee. and the reason i pursued it was because this website said that ppis come in many different forms and may be called charges or higher lending fees.

and even if it isnt a ppi i was still strongly coerced by a salesman and £4000 is a bloody lot of money just to add on so could i not claim back on any of these bases?
txs

dunstonh

and even if it isnt a ppi i was still strongly coerced by a salesman and £4000 is a bloody lot of money just to add on so could i not claim back on any of these bases?

It is not PPI. It has absolutely nothing in common with PPI. It is a bit like asking if my rabbit is a cat.

You were not coerced. It was a mandatory payment because you didnt have enough savings to put down. You cannot be coerced when the payment is mandatory. Although you did have a choice. Either get more savings or pay the MIG.

No you cannot claim it back.

roonaldo

dunk7777 wrote: »

nd the reason i pursued it was because this website said that ppis come in many different forms and may be called charges or higher lending fees.

Not high lending charges as its not PPI, its a mortgage indemnity insurance to protect the lender. PPI is protect your payments if you are off work sick or made redundant. Its completely different.

and even if it isnt a ppi i was still strongly coerced by a salesman and £4000 is a bloody lot of money just to add on so could i not claim back on any of these bases?
txs

It was compulsory, as previously said the way to avoid it is to pay a bigger deposit.

It is this - http://www.cml.org.uk/cml/consumers/guides/indemnity
its not PPI, not similar to, not mis-sold and not reclaimable.

Banks are allowed to charge fees, in the same way as if you went out and bought a car, the cost of that isnt reclaimable.

_Andy_

"so could i not claim back on any of these bases?"

As per above. No you can't.

dunstonh

the reason i pursued it was because this website said that ppis come in many different forms and may be called charges or higher lending fees.

Can you point to that in the article on this site please? If it does say that then we clearly need to make the site team aware of such a glaring mistake. They have corrected past mistakes that have been pointed out to them.

-taff

dunk7777 wrote: »

and even if it isnt a ppi i was still strongly coerced by a salesman and £4000 is a bloody lot of money just to add on so could i not claim back on any of these bases?
txs

You chose to buy a house and borrowed the money, so no, you weren't strongly coerced, and no, you can't claim it back because it was a bloody lot.

Goldiegirl

Hopefully the OP has now got the message that this can't be claimed back!