HSBC Graduate Mortgage PPI - 1998-2002

I took out a graduate mortgage with HSBC in 1998- 2002. I remember the details of the mortgage very well due to it being my first mortgage and the incentive HSBC gave. The incentive in question was that i needed zero deposit and was still entitled to obtain their standard interest rates.

I had a meeting with HSBC to approve my suitability for the mortgage and passed and was given a monthly payment of £238.00. When i started paying my mortgage i was debited £262.30 from my account and when i questioned it with the HSBC mortgage adviser who i had dealt with he said the additional £24.50 was for PPI which they said was compulsory with the product this type of mortgage.

Although i signed the forms close to 20 years ago i can categorically say PPI was not mentioned to me during the process of signing up for the mortgage and thus no signature was given for this product .

I have applied twice to HSBC for compensation but in my opinion they have hid behind there statement of they do not have any records of the mortgage. This is despite given them dates which i occupied the property and made payments, the address of the property which the mortgage was for and my HSBC bank account number .

I was however, lucky enough to find a statement which showed payment from my account for the mortgage in 2002 and importantly it referenced a policy number of the mortgage next to it.

So here are my questions.

1. Do you recall if any HSBC graduate mortgage products had compulsory PPI.
2. Now they have the account number can they come back and say they still have no records and hide behind the data protection act.
3. If they still have no records should i go to the ombudsman and supply a land registry form to prove i was at this property between the dates, the statement that shows a mortgage payment to HSBC during this date and historical records of the interest rate etc.
4. Is their a realistic chance of compensation
5. How is the compensation calculated.

Many thanks for reading through this and any comments would be much appreciated.

Comments

  • PPI which they said was compulsory with the product this type of mortgage.
    It probably was compulsory with the mortgage they provided, and if so, couldn't have been mis-sold.
  • J_Spence wrote: »
    The incentive in question was that i needed zero deposit and was still entitled to obtain their standard interest rates
    The compulsory insurance you mention would not have been PPI, it would have been Mortgage Indemnity Guarantee (MIG). This protected the lender (not you), was indeed compulsory and you cannot complain it was "mis-sold"

    A word of explanation; typically a lender's policy was to lend no more than 75%.
    If they agreed to increase their risk above this they required a MIG policy to be purchased for them at the borrower's expense.
    You had a 100% mortgage and therefore had to pay for the MIG.

    The rest of your post is therefore irrelevant, but the fact that the Bank have already twice said that they no longer have any records of your mortgage weakens your case still further.

    You didn't have PPI.

    The insurance you did have was compulsory.

    You don't have a valid complaint.

    You won't be getting a refund.

    Sorry.
  • J_Spence wrote: »
    2. Now they have the account number can they come back and say they still have no records and hide behind the data protection act.

    If they don't have records, yes they can say they don't have records.

    They certainly wouldn't be hiding behind any kind of Act.
  • dunstonh
    dunstonh Posts: 116,038
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    A number of lenders had MPPI as compulsory to get the particular mortgage deal between 1992 and 2000.
    I have applied twice to HSBC for compensation but in my opinion they have hid behind there statement of they do not have any records of the mortgage.

    In that case, it doesnt really matter.
    2. Now they have the account number can they come back and say they still have no records and hide behind the data protection act.

    Complying with the law of the land does not mean you are hiding behind it. Why don't you use your records? Or are you hiding behind that?
    3. If they still have no records should i go to the ombudsman and supply a land registry form to prove i was at this property between the dates, the statement that shows a mortgage payment to HSBC during this date and historical records of the interest rate etc.

    Land registry will only show you had a mortgage on the property. Not what insurance you had.
    4. Is their a realistic chance of compensation

    Most MPPI complaints fail, even when there are records. So, with no records and having already been declined, this is game over.

    Are you sure this was PPI and not MIG?
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
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