HSBC Business Loan Security Policy

Rob_D_D

a few weeks ago i contacted HSBC to ask if PPI was placed on my business loan from 2004 - i was told it was not but that a security policy was linked to the account but not an HSBC product. i am awaiting details on this (yet to arrive) - the chap on the phone said, once you get it in the mail i can make a complaint if it was sold to me unfairly (which it was as i didn't even know about it !) to reclaim the money.

i have searched high and low online but cant find anything about these policies - does anyone know anything about them or how much i may have been paying for it (based on around £30,000)

thanks in advance

dunstonh

- i was told it was not but that a security policy was linked to the account but not an HSBC product.

Security product would be life assurance. Not PPI.

the chap on the phone said, once you get it in the mail i can make a complaint if it was sold to me unfairly (which it was as i didn't even know about it !) to reclaim the money.

If it was required as security for lending then your complaint is going to fail. Plus, if HSBC didnt sell it then HSBC wont consider a complaint.

does anyone know anything about them or how much i may have been paying for it (based on around £30,000)

It would be monthly direct debit.

magpiecottage

dunstonh wrote: »

If it was required as security for lending then your complaint is going to fail. Plus, if HSBC didnt sell it then HSBC wont consider a complaint.

If it is not an HSBC product then it seems unlikely HSBC would have known of its existence if it was not a condition of the loan.

dunstonh

magpiecottage wrote: »

If it is not an HSBC product then it seems unlikely HSBC would have known of its existence if it was not a condition of the loan.

I suspect it doesnt exist. I had some of these in the past during my securities days at the bank. It was easy when you could insist on your own product. However, when someone said they wanted to buy elsewhere in the days they were allowed to, we couldnt stop them. Usually you would ask them to bring the policy schedule in. Early days would see it checked but later on it was just lip service and if someone didnt bring it in, you didnt chase it up. So, the file would say there was a life policy as security but frequently there was no evidence that any such policy actually existed.

If the OP doesnt know of such a policy (which would be a monthly direct debit) then chances are it doesnt exist and quite possibly never existed.

There is the other possibility that this was placed through the IFA arm of HSBC. However, again, this would still be a monthly d/d.