Reclaiming PPI from the 1980's

MrWillyWonka

Hi.

I remembered when I was a kid that my parents complained about being ripped off by the bank about PPI when my dad was self employed.

I brought it up recently and found my parents still have the original mortgage paperwork with PPI in it. However there are no figures on it.

My dad was self employed and my mum a housewife when they took out a mortgage in 1982 with Halifax. In 1992 my dad lost his job so my parents applied to claim off the PPI but was rejected because my dad was self employed. Of course my parents were furious and subsequently cancelled the PPI and couldn't get a refund.

I'm helping my parents on this but am I right in thinking that banks have to consider all PPI claims regardless of the dates? Or is this too far in the past? It's 10 years of payments for nothing. As I said the original mortgage paperwork with PPI exists but there is no mention of how much PPI they are to pay, will this be an issue?

Thanks to all who reply.

Insider101

Are you sure it was taken in 1982? I'm not even sure PPI was around in those days.

Regardless, if you complain about this matter then the logical response would be to timebar the complaint. Which they can do if it is six years since the event complained about and three years since you became aware, or ought to have been aware, that there was an issue. Which in this instance would be the date the claim was declined.

dunstonh

I'm helping my parents on this but am I right in thinking that banks have to consider all PPI claims regardless of the dates?

In this case, they could apply the three year timebar. However, it is Halifax. So, they probably wont.

However, are you sure it is PPI? PPI came about mid to late 80s with most lenders and Halifax didnt sell its own insurance in most areas until much later. Indeed, they used to get local brokers in to do it (and that is the case here, then the broker has the liability for complaint. Not Halifax - although this is way before financial services regulation, let alone insurance regulation so the broker doesnt have to consider it - if it was a broker).

Income protection was available back then. So, it may have been that. Or it could be a very very early example of PPI. What is it called on the paperwork?

MrWillyWonka

Thanks both.

My parents are bringing over the paperwork tomorrow so I'll be able to look at the wording closely. My mum found further paperwork but it seems that both of your are correct. Policy was taken out with Sun Alliance group in 1987 when they remortgaged rather than 1982. It states that the monthly premium is £35 for 24 years but it was cancelled in 1992. The paperwork clearly states "Payment Protection".

I'm guessing Sun Alliance was the broker so does not have to consider the claim?

dunstonh

I'm guessing Sun Alliance was the broker so does not have to consider the claim?

No. Sun alliance is the insurer. If it was a lenders own brand product then you complain to the lender. If a broker was used (such as solicitor, accountant, IFA or estate agent) then you give up.