PPI Help! Liability Lender or Broker

SarahFisher123

Hi All,

I'm looking for any help available I have recently found out my Mortgage has a PPI Policy on it by seeing this on a computer screen when in a meeting with a different building society.

There is no record of it on any of my paperwork I've ever had from them it must be hidden into the monthly payments. The lender said as we used a broker they would have miss sold us the policy so we contacted them.

The broker have provided a disclaimer they asked us to sign to confirm we did not want the policy and therefore did not ask for one to be taken out.

The lender is still saying a third party must have taken out the insurance for us even though this part of the Mortgage and no other party was involved and it is clear they have done this without our consent as they keep asking us to provide evidence?? How can I know nothing about this!

This lender has lied about the policy being there until I sent evidence of the screen we had seen it on. Now they will not comply and take liability for this.

Can anyone help?

Thanks

societys_child

Whoever sold you the ppi policy would have liability for any mis-selling however I'm not sure how the payments can be hidden. Did you actually pay any ppi?

dunstonh

There is no record of it on any of my paperwork I've ever had from them it must be hidden into the monthly payments.

It cant be hidden. Most MPPI is paid by monthly direct debit. Only some older building society versions could be taken with the mortgage but they would then appear on the mortgage statement.

The lender said as we used a broker they would have miss sold us the policy so we contacted them.

In which case it cannot be taken with the mortgage then as a broker would use a standalone product. Typically these are monthly direct debit from the current account. Plus, the mortgage lender wouldnt know if the broker arranged MPPI.

The broker have provided a disclaimer they asked us to sign to confirm we did not want the policy and therefore did not ask for one to be taken out.

Which was recommended to advisers when people didnt take out MPPI. So, that is good.

This lender has lied about the policy being there until I sent evidence of the screen we had seen it on. Now they will not comply and take liability for this.

As MPPI is nearly always a monthly direct debit from your current account, then it should be nice and easy. Are you actually show you are paying it?

magpiecottage

SarahFisher123 wrote: »

The broker have provided a disclaimer they asked us to sign to confirm we did not want the policy and therefore did not ask for one to be taken out.

That is probably the first time I have heard of that requirement. on page 15 of the Mortgage Code Compliance Board's Good Practice Notes, actually being fulfilled.

I'm looking for any help available I have recently found out my Mortgage has a PPI Policy on it by seeing this on a computer screen when in a meeting with a different building society.

This is the bit that intrigues me. How on earth could that personal data end up on the computer screen of a completely different building society?

There is no public database with that information. It is personal data.

So they could have obtained it unlawfully - but that seems extremely unlikely.

They could have possibly shown the data of somebody else by mistake. That is technically also a breach of the Data Protection Act but would mean that you do not actually have cover.

They could have recorded it in error (either theirs or yours but either way it also means you do not actually have cover).

Or they sold it - in which case that is who you complain to.

[Deleted User]

SarahFisher123 wrote: »

I'm looking for any help available I have recently found out my Mortgage has a PPI Policy on it by seeing this on a computer screen when in a meeting with a different building society.

Now this is a completely new one. How can a different building society have access to such information from another lender??

SarahFisher123 wrote: »

This lender has lied about the policy being there until I sent evidence of the screen we had seen it on. Now they will not comply and take liability for this.

How on earth were you able to give them "evidence"?

Did you somehow get a screenshot?

Clearly they are not accepting your "evidence" which, in all honesty, sounds like a mistake on your part rather than any conspiracy or lies on theirs.

Happy to be proven wrong, but it sounds like the building society with the PPI on screen should be the one (if any) you are targeting with a PPI complaint.

All this is moot, of course, if it turns out you didn't actually pay any PPI at all !

SarahFisher123

Hi Guys, I'm sorry I'm new to this and I don't know how to quote??

Thank you for your comments.

The reason I was able to see the details of our Mortgage was because the building society I had a meeting with own the Mortgage Company in their group. They had visible under my name all the LIVE accounts I hold with the group. It showed the Mortgage and account number and then underneath "Additional Security Protection Policy" with the same account number with "/1" after it.

We have never paid a separate amount other than our Mortgage Monthly Direct Debit and our statement does not show this on it as a breakdown just 12 monthly payments.

I'm sure you can understand my confusion.

The company denied the policy when I wrote to them and then when I sent them the print out of the screen showing the policy they advised they did not miss sell us the broker did, if there was no such policy I would have thought they would have confirmed again there was no policy instead of directing liability to the broker?

As the policy number is the same as the account number with "/1" after, it is clear this has been set up by the mortgage company themselves??

I'm probably not going to win this one but It is a shame if in fact the payments are within our mortgage payments without our knowledge and we cannot do anything about it.

I have written to them today to request evidence of who asked them to take the policy out.

magpiecottage

The plot thickens.

If the broker has produced a disclaimer then it follows that (s)he didn't sell any PPI to you. That suggests it was sold by the lender.

Also, brokers do not tend to sell PPI from lenders anyway. There are two reasons for this. The first is that lenders' PPI tends to be more expensive than that available on the open market. The second is that the open market is likely to be more lucrative for the adviser.

I would go back to the lender and tell them that the broker did not sell it and they are holding the smoking gun.

dunstonh

It showed the Mortgage and account number and then underneath "Additional Security Protection Policy" with the same account number with "/1" after it.

Security protection policy would not refer to MPPI. It would refer to life assurance.

Back in my banking days we had to record life policies in force as security for secured lending.

We have never paid a separate amount other than our Mortgage Monthly Direct Debit and our statement does not show this on it as a breakdown just 12 monthly payments.

Which means you are not paying MPPI. Do you have life assurance? Do you have house insurance? They are normally paid separately.

As the policy number is the same as the account number with "/1" after, it is clear this has been set up by the mortgage company themselves??

Not at all. It could be that the system is only as good as the info input and may have had a bit input incorrectly or it could be a code used internally to fill a hole when they dont have any data.

'm probably not going to win this one

If nothing exists and you have verified you are paying nothing then there is nothing to win.

antrobus

SarahFisher123 wrote: »

....... It showed the Mortgage and account number and then underneath "Additional Security Protection Policy" with the same account number with "/1" after it.
....

I'm with dunstonh on this one; doesn't sound like PPI - PPI doesn't provide a lender with 'additional security' as such. Could be life insurance, but then the OP would be aware of the monthly premiums - I'd guess it was a MIG myself.