Mortgage with PPI

edited 30 November -1 at 1:00AM in Reclaiming Mortgage Fees, Council Tax, etc
9 replies 2.1K views
NathanHolmesNathanHolmes Forumite
1 Post
Hi, I have been reading through the threads and not found the answer to my query so I thought I would start a new thread. In July 1997 I had a 25 year endowment mortgage with an additional insurance policy. The insurance policy was there for providing payment to cover the cost of the mortgage if I was unable to work. This was a short term policy that covered mortgage payment upto 12 months. A year before I started the mortgage with this policy, I started in the NHS and I am still in the NHS 22 years later. I was fortunate to be able to pay off my mortgage early, but 3 months after I noticed the insurance was still being taken out of my account. I quickly contacted the insurance company and had this stopped. I wrote a letter and complained to my 'broker' who sold me the mortgage and the policy advising that I was told I HAD to have the insurance to get the mortgage. If the policy was a short term income policy for me being out of work for 12 months, this would be covered under the NHS sickness policy where I would get 6 months full pay and 6 months half pay. My broker asked for a copy of my working contract from 1996. Unfortunately, I as I am not in the same job and the trust names have changed, I am unable to get this contract from when I took out the mortgage. I do however, have EVERY pay slip for the last 22 years (proving my date of employment). My broker then closed my complaint saying without a copy of my working contract they could not look into it further. I contacted the Financial Ombudsman who looked into it and rejected my claim. Unfortunately I now dont have the financial ombudsman letter (I have my reference number from my complaint so I think I should be able to apply for another copy if needed), but I clearly remember on their letter it stated that they couldn't pursue the complaint as it was before a date of 2006 (or 2008). I thought there was no date restrictions on these complaints? I am now hearing and reading about Plevin suggesting even if I had PPI I should still be entitled to compensation. So my point is, I had a mortgage in 1997. I was told I HAD to have the insurance in the event of sickness, injury, involuntary reduncancy etc, when I clearly stated at the time I didn't need it as my work covered the payment. If the broker has refused my complaint and the FOS has refused my complaint, Can I take this further and should I be covered under the Plevin rule? If so, what should be my next step in taking my complaint further to hopefully retrieve back what I shouldn't have paid out initially. Thanks

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  • societys_childsocietys_child Forumite
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    Whoever sold you the policy would be liable, but the broker wasn't regulated in 1997 so can dismiss your complaint. Regulation was introduced in 2005. There is no where to go to "take it further".
    Plevin is a slightly different issue, but I don't think your mortgage falls within the time scales.
  • edited 11 January 2018 at 7:19PM
    dunstonhdunstonh Forumite
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    edited 11 January 2018 at 7:19PM
    The FOS have been rejecting complaints by NHS workers on MPPI. The 12 months sick pay can work with short term debts but doesnt work with long term secured debts as long as the MPPI pays out in addition (which most do).

    Not that the FOS had the right to review this complaint as it was pre-regulation. Maybe they rejected it because they could not look at it.

    Broker sold MPPI is unlikely to be affected by Plevin as MPPI was typically around 25%-35%. The tipping point is 50%.
    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.
  • -taff-taff Forumite
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    Hi, I have been reading through the threads and not found the answer to my query so I thought I would start a new thread. In July 1997 I had a 25 year endowment mortgage with an additional insurance policy.

    The insurance policy was there for providing payment to cover the cost of the mortgage if I was unable to work. This was a short term policy that covered mortgage payment upto 12 months.

    A year before I started the mortgage with this policy, I started in the NHS and I am still in the NHS 22 years later. I was fortunate to be able to pay off my mortgage early, but 3 months after I noticed the insurance was still being taken out of my account. I quickly contacted the insurance company and had this stopped.

    I wrote a letter and complained to my 'broker' who sold me the mortgage and the policy advising that I was told I HAD to have the insurance to get the mortgage. If the policy was a short term income policy for me being out of work for 12 months, this would be covered under the NHS sickness policy where I would get 6 months full pay and 6 months half pay.

    My broker asked for a copy of my working contract from 1996. Unfortunately, I as I am not in the same job and the trust names have changed, I am unable to get this contract from when I took out the mortgage. I do however, have EVERY pay slip for the last 22 years (proving my date of employment).

    My broker then closed my complaint saying without a copy of my working contract they could not look into it further. I contacted the Financial Ombudsman who looked into it and rejected my claim.

    Unfortunately I now dont have the financial ombudsman letter (I have my reference number from my complaint so I think I should be able to apply for another copy if needed), but I clearly remember on their letter it stated that they couldn't pursue the complaint as it was before a date of 2006 (or 2008). I thought there was no date restrictions on these complaints?

    I am now hearing and reading about Plevin suggesting even if I had PPI I should still be entitled to compensation. So my point is, I had a mortgage in 1997. I was told I HAD to have the insurance in the event of sickness, injury, involuntary reduncancy etc, when I clearly stated at the time I didn't need it as my work covered the payment.

    If the broker has refused my complaint and the FOS has refused my complaint, Can I take this further and should I be covered under the Plevin rule? If so, what should be my next step in taking my complaint further to hopefully retrieve back what I shouldn't have paid out initially. Thanks

    So much easier to read now.
  • -taff-taff Forumite
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    The broker wasn't regulated. You can complain if you like, but they still weren't regulated, no matter if it was PPI or Plevin.
  • ex2t633wex2t633w Forumite
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    Mortgage 1991---- sure we had PPI so claimed ---- claim rejected----put in new PLEVIN claim, via RESOLVER, but F.Ombudsman says it was not PPI, but Life Insurance, described as MORTGAGE PAYMENT PROTECTION
    but surely that is PPI ????
    Am I missing something here ?
  • BoGoFBoGoF Forumite
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    Was this a Halifax mortgage?
  • dunstonhdunstonh Forumite
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    Mortgage 1991---- sure we had PPI so claimed ---- claim rejected----put in new PLEVIN claim, via RESOLVER, but F.Ombudsman says it was not PPI, but Life Insurance, described as MORTGAGE PAYMENT PROTECTION
    but surely that is PPI ????

    Life assurance has less in common with PPI than your car insurance does.
    Am I missing something here ?

    yes. A PPI policy for starters.

    PPI stands for Payment protection insurance. It is a specific type of insurance plan. It is not life assurance. It is not house insurance, pet insurance, travel insurance or many other types of insurance. PPI is PPI.

    As it happens, there isnt much wrong with MPPI which is why you can still buy it today.
    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.
  • I've left the UK and lived in Australia since 1998 but during my time living in UK I had three home loans from 1985 to 1998. I do not have any paper work for these loans nor do I remember the lenders so how do I progress claiming PPI back?
  • [Deleted User][Deleted User] Forumite
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    I've left the UK and lived in Australia since 1998 but during my time living in UK I had three home loans from 1985 to 1998. I do not have any paper work for these loans nor do I remember the lenders so how do I progress claiming PPI back?
    The odds are stacked very much against you, I'm afraid.

    1985 is thirty-three years ago.

    Even 1998 is two decades ago.

    Do you even know if you had PPI?
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