Payplan cover my...

chelle1981

Hi all- I've been in my dmp since dec 2009 and every since I started the plan I signed up to cover my payments and cover my life- I think this amounted to £15. I would have signed up to anything - I remember asking if it was advised and was told yes- so for the last few years I have been paying £15 for I'm not really sure what! Anyway I'm now able to increase my payments and had a letter to say this was increasing but a couple of pounds a month- until I received this letter I had forgotten I was paying it- basically I have worked out I have paid payplan £750- this could have paid off a debt- I questioned with payplan to ask if this was ppi and got told no- does anyone actually know if this is ppi and if there is hope of claiming it back?

sourcrates

Well it says on there website they don't charge a fee, do you have any paperwork relating to this "cover" that you signed up for ? sounds to me like a kind of PPI, or is it life insurance ? I would ring and ask them, only they can tell you for sure.

chelle1981

Apparently these are not insurances but a membership scheme- seems to me like they are insurance but they have found a loophole to call them a membership scheme and charge each month!!

I have cancelled them now anyway but can't believe that I have wasted £750- this must be how payplan make their money - I bet there are loads of ppl out ere who have effectively been pressured into taking these schemes out at the start of their dmp!

Will have a search and see if I can find out anything

sourcrates

chelle1981 wrote: »

Apparently these are not insurances but a membership scheme- seems to me like they are insurance but they have found a loophole to call them a membership scheme and charge each month!!

I have cancelled them now anyway but can't believe that I have wasted £750- this must be how payplan make their money - I bet there are loads of ppl out ere who have effectively been pressured into taking these schemes out at the start of their dmp!

Will have a search and see if I can find out anything

If you wernt sure what you were signing up for, then you may have a case for mis-selling.
A complaint in writing may get you somewere, if no joy, you can take it to the ombudsman, they will decide wether fair or not.

Stewart_78

Payplan always hassle me every year to switch my home, life, car insurance etc. It's disturbing. Trying to 'save me money' apparently. Very noble of them. I'm quite capable of looking on comparison sites and doing my own deals.

Payplan are helpful but you have to watch them.

chelle1981

Yeah I couldn't really fault payplan up until now- I've struggled making payments in the past and they have been understanding and helped out but this cover my payments thing has really frustrated me- that I could have paid off one of my credit cards with the miney I have paid them