Ppi sold on a mortgage in 2004

barch

Hi all,
I have just found out that my mortgage has a PPI policy. I am staggered I have not checked before! The mortgage was taken out in Nov/Dec 2004. I really wasn't aware the policy was included. It was sold by an IFA.
I guess I need to OK into making a claim if possible but was wondering if, given it was sold before 2005, there was any chance. The least I can do is cancel the policy. I think I have paid £20k + over the last ten years. I feel sick!

Cheers

magpiecottage

How did you not know? There would have been a separate direct debit coming out of your bank account each month.

barch

I will check the paperwork again. Maybe its generic wording but I though t it gives a PPI portion of the payment each month.

dunstonh

I have just found out that my mortgage has a PPI policy. I am staggered I have not checked before!

Wow, nearly 10 years of paying direct debit premiums without knowing. Not being rude but you really need to check your statements more often.

The mortgage was taken out in Nov/Dec 2004. I really wasn't aware the policy was included. It was sold by an IFA.

Most IFAs did not become regulated on insurance until Jan 05. So, this is pre-regulation.

I guess I need to OK into making a claim if possible but was wondering if, given it was sold before 2005, there was any chance.

Pre-regulation is one issue. Then you have the odds that it will fail. The FOS reject most MPPI complaints. adviser PPI complaints only account for 0.2% of PPI complaints and most are rejected. So, its all against you.

maggy50

My policy was from 2000 - 2004 and my complaints was upheld on MPPI , I only found out that the MPPI element was optional when taking another mortgage with the same provider and it was pointed out to me that I had not elected to take MPPI on my application.

All my statements showed the premium but I assumed it was part of the deal regarding this mortgage as it was sold to me via a broker.

I would have not knowingly have added more expense to my monthly outgoings on a policy that was useless in view of a long term illness.

Brokerwise

maggy50 wrote: »

My policy was from 2000 - 2004 and my complaints was upheld on MPPI , I only found out that the MPPI element was optional when taking another mortgage with the same provider and it was pointed out to me that I had not elected to take MPPI on my application.

All my statements showed the premium but I assumed it was part of the deal regarding this mortgage as it was sold to me via a broker.

I would have not knowingly have added more expense to my monthly outgoings on a policy that was useless in view of a long term illness.

Quick point - the cover would only have been useless if you tried to claim on that illness - it would have covered you for everything else. What would happen in you or any other party to the mortgage got run over and could not work or were made redundant, how would you keep the roof over your head ?

fiftydd

Hi Brokerwise. PPI was built into my mortgage by an independent F. A. in 2004. Because it was then part of the mortgage and was subjected to the usual mortgage rate rises and falls (not many of those), I would have been paying interest on it as well as the mortgage. Also because it was then part of the mortgage, it would not show up as a separate payment, so I can understand some people not noticing it on their statements. The mortgage itself and subsequently, the PPI was provided by one of the Scottish banks. Because it was built in by an I. F. A. then provided by a bank, who do I claim against? The I. F. A. or the bank? I have been holding back on claiming because I wasn't certain which way to go.
I would be grateful for any information in this direction.
Thanks.
PS. The mortgage was finished in 2007.

roonaldo

Im not sure who's post this is now, 2 other people have hijacked it.

fiftydd - It sounds like a single premium was sold and paid for by the funds of a remortgage (i assume). this is nothing to do with the bank. mis-selling is about the sale so complain to the IFA.

magpiecottage

roonaldo wrote: »

fiftydd - It sounds like a single premium was sold and paid for by the funds of a remortgage (i assume). this is nothing to do with the bank. mis-selling is about the sale so complain to the IFA.

2004 cases are a bit odd.

They predate regulation but if the firm was/is directly regulated by the FSA then FOS will have jurisdiction if it was sold before 31 October of that year by virtue of the Mortgage Code.

From then, the Mortgage Code ceased to exist but general insurance was still unregulated.