TSB Platinum Charges - Help please just been rejected

ppiclaim

Hi all,

Hope you can help. I have raised a claim against TSB (Lloyds TSB) about their platinum account I had for over 10 years.

When I originally took out the accounts I was told that I needed to take the platinum service to enable me to take out loans and have preferential treatment with such things as account management, interest rates, telephone servicing etc.



When I had taken such products as loans out I had asked to cancel the platinum/premium account servicing in the branch but was told it was a bad idea as it could affect my applications for future credit.



I specifically was sold the product on the back of that I would have access to all of these wonderful insurances, which i did not need and explained that to them. - however they do state i used the breakdown a few times (I have asked for evidence)

He also said I registered a phone, which I did try to, but the process was so difficult I gave up, plus the phone was not even mine it was a loan phone from CPW (my own phone was covered by work) Just CPW said if i lose it I have to pay them so thought I would try the TSB cover. Unsure if this is a valid point as the insurance T&Cs say it has to be your own phone or family. No mention of someone elses or loan phones etc being covered




They also sold it to me that loans and credit cards would come with better rates and to keep these rates the same and have access to these loans. They have told me on the phone just now that this is true and that if I stopped paying my £15 a month for platinum that the loan rate would have increased or my credit card rate would have increased.

Does this mean I have a case for the FOS as they have rejected my claims that this is unfair to sell me a loan etc (thats the main reason i had platinum) that I also had to pay £15 a month to keep at the same rate. Even though I signed a contract stating monthly payments are x

I explained to the guy on the phone and said for example

I take a loan out for £300 a month over 5 years, but I cant afford the platinum after 2 years does that mean you could increase it to £320 a month for the remaining 3 years?

He said yes. You have to pay the platinum throughout any loan or credit card, or the rates will revert to the standard rate.

Obviously I am confused as it says nothing about this in any of the T&Cs of the loan I have here

Help appreciated please

dunstonh

They also sold it to me that loans and credit cards would come with better rates and to keep these rates the same and have access to these loans. They have told me on the phone just now that this is true and that if I stopped paying my £15 a month for platinum that the loan rate would have increased or my credit card rate would have increased.

The platinum account did improve interest rates on debts. So, if you have borrowed, then you have gained from it.

Basically, if you dont agree with the bank then you should refer it to the FOS. However, do be aware that the FOS hardly uphold any complaints on packaged accounts. Currently only running at 13% in favour of consumer.

If you registered the phone and used breakdown and got better rates then its a pretty easy rejection.

ppiclaim

Thanks @dunstonh I did wonder if that was the case.

Regarding the automatic increase on a loan if you cancelled the packaged account at any point during the period. Is this a valid argument given that a loan is signed for a fixed term with fixed payments and no reference to "if you cancel it will revert to standard rate at x%" or is that scraping the very bowels of the claim barrel?

Youngy

I've had a current account with Lloyds since 1989, after a meeting in branch took out a paid Gold account in 2001, as was told needed it to get rate for my overdraft. Upgraded to Platinum in 2005 via internet banking. Cancelled it and went down to classic account in 2010 and then opted for the new Club Lloyds in 2014. I raised a complaint with them around the original misselling based on needed for rate.
They came back to me last week and said I should've raised at the time I cancelled back in 2010 (or within 6 months) and the fact I upgraded to platinum via internet banking also goes against.

Nasqueron

Youngy wrote: »

I've had a current account with Lloyds since 1989, after a meeting in branch took out a paid Gold account in 2001, as was told needed it to get rate for my overdraft. Upgraded to Platinum in 2005 via internet banking. Cancelled it and went down to classic account in 2010 and then opted for the new Club Lloyds in 2014. I raised a complaint with them around the original misselling based on needed for rate.
They came back to me last week and said I should've raised at the time I cancelled back in 2010 (or within 6 months) and the fact I upgraded to platinum via internet banking also goes against.

The issue is miss-selling.

If you chose to upgrade online then you weren't sold anything so cannot have been miss-sold, that's called miss-buying, so you should complain to yourself about it

The time bar rules they are applying are correct, you have six years from the event you are complaining about and/or (if later) three years from when you knew or could reasonably have known you had cause to complain.

You cancelled in 2010 meaning you had 3 years from then to complain about it.

If you needed the better account for a better OD rate and benefited from that rate then that was not miss-sold anyway

dunstonh

Youngy wrote: »

I've had a current account with Lloyds since 1989, after a meeting in branch took out a paid Gold account in 2001, as was told needed it to get rate for my overdraft. Upgraded to Platinum in 2005 via internet banking. Cancelled it and went down to classic account in 2010 and then opted for the new Club Lloyds in 2014. I raised a complaint with them around the original misselling based on needed for rate.
They came back to me last week and said I should've raised at the time I cancelled back in 2010 (or within 6 months) and the fact I upgraded to platinum via internet banking also goes against.

Correct. You are timebarred when it is more than 6 years from the original purchase or 3 years from being reasonably aware of an issue (whichever gives you the longer). A change from one account type to another triggers the 3 year count.

Gold account did give better overdraft terms. That was in 2001 (so the 6 year time bar clock starts there. Changed to platinum in 2005 via internet banking means they didnt sell it to you. You chose to have it. Plus, that triggers the 3 year complaint period for the gold account.

Going back to classic in 2010 triggers the 3 year time period for the platinum (not that they mis-sold that). So, basically, you fail the 3 year rule multiple times.