Old ppi after spouse dies

Rammie_2

We got a mortgage around 28 years ago and the day after agreeing the mortgage had a call from the mortgage lender telling us we had to take insurance or we wouldn't get the mortgage. We made regular payments over approx the next 3 years and even made a couple of payments of nearly £10,000 to reduce the mortgage but then my husband died suddenly. The insurance did pay off the outstanding mortgage but does anyone know if I can claim ppi as we paid off about £24,000 in a 3 year period
Thanks

-taff

Doubtful.
It doesn't sound like you paid PPI, it sounds like you paid MPPI which served it's purpose in paying the mortgage when your husband died.
The 24000 I assume you paid off the mortgage as an overpayment?
At a certain time, insurance was sold as a condition of the mortgage and that was allowed.

dunstonh

We got a mortgage around 28 years ago and the day after agreeing the mortgage had a call from the mortgage lender telling us we had to take insurance or we wouldn't get the mortgage.

Quite normal on mortgages of 28 years ago and allowed. Indeed, it is still allowed today. However, it only tends to be activated on commercial borrowing.

We made regular payments over approx the next 3 years and even made a couple of payments of nearly £10,000 to reduce the mortgage but then my husband died suddenly. The insurance did pay off the outstanding mortgage but does anyone know if I can claim ppi as we paid off about £24,000 in a 3 year period

1 - that is not PPI. it is life assurance.
2 - it would ahve been a mandatory requirement so not mis-sold
3 - you benefited from the policy to an amount far greater than you ever paid in premiums.

So, no.

Insider101

Rammie wrote: »

We got a mortgage around 28 years ago and the day after agreeing the mortgage had a call from the mortgage lender telling us we had to take insurance or we wouldn't get the mortgage. We made regular payments over approx the next 3 years and even made a couple of payments of nearly £10,000 to reduce the mortgage but then my husband died suddenly. The insurance did pay off the outstanding mortgage but does anyone know if I can claim ppi as we paid off about £24,000 in a 3 year period
Thanks

Sorry to hear about your husband.

Firstly, if the policy you held paid off the mortgage on death then it is life cover not PPI. Secondly, lenders were allowed to insist that you take out insurance to cover your mortgage. It would only be missold if the adviser told you it was a requirement and it wasn't, but even then after so long it's doubtful any records would exist. Finally, if the insurance paid off your mortgage then this would surely have exceeded anything you paid for the insurance. Hence, you would not have been financially disadvantaged.