Toyota PPI

militantconsumer

Hi everyone

I am helping somebody with a possible reclaim of PPI added to a finance deal on a new Toyota with the agreement dated November 2004 (yes, it was over 10 years ago).

She did write to Toyota Financial Services to complain in January 2009 but in their response rejecting her complaint they said, among other things:

... the sale of your Credit Agreements and Payment Protection Policies took place at Steven Eagell Toyota Milton Keynes. This is a separate company to Toyota Financial Services. The administrators of the Policies were London General Holdings, now The Warranty Group (TWG). The full premium cost for your Policy was forwarded to the Insurance Company at the point of sale by Toyota Financial Services. Whilst, therefore, I have made every attempt to answer the points you have raised, it may be that there are parties closer to the issues with whom you may wish to discuss this matter.

As I understand it we can't complain to the Financial Ombudsman because the FSA didn't regulate these types of deals until a few years after 2004.

Can anyone advise if it's worth pursuing this matter any further? And, if so, what we should be doing next?

Thanks in advance for any suggestions.

Nearlyold

The complaint should have been directed to whoever sold the policy, in this case the car dealer. Toyota Financial Services did not sell the policy, the dealer did.

Unfortunately though, as you are already aware, regulation of General Insurance did not start until early 2005 so even if the complaint had been directed to the dealer they could and probably would decline to consider it.

Having said the above there are very rare occasions when the finance company or underwriter could be held responsible depending on the relationship between them and the dealer but I wouldn't hold up much hope.

Nasqueron

Nearlyold wrote: »

The complaint should have been directed to whoever sold the policy, in this case the car dealer. Toyota Financial Services did not sell the policy, the dealer did.

Unfortunately though, as you are already aware, regulation of General Insurance did not start until early 2005 so even if the complaint had been directed to the dealer they could and probably would decline to consider it.

Having said the above there are very rare occasions when the finance company or underwriter could be held responsible depending on the relationship between them and the dealer but I wouldn't hold up much hope.

They will time bar it anyway as she has complained and they rejected it more than 6 years ago

dunstonh

As I understand it we can't complain to the Financial Ombudsman because the FSA didn't regulate these types of deals until a few years after 2004.

Regulation started in January 2005. The complaint should have been made to the seller. Not the lender. It is the sale of the product that is the issue. Not the product itself. However, car dealers were not previously regulated or members of an earlier body. So, the complaint could be rejected by the dealer as being pre-regulation.

Can anyone advise if it's worth pursuing this matter any further? And, if so, what we should be doing next?

So, it was pre-regulation and we can ignore the dealer. The finance company was tried (and some dealers that would work) but that was rejected as they did not have liability. So, that just leaves the insurance company. As mentioned above, there have been some successes on this front but its low odds. It is the only route left open though to try.