Plevin payment Britannia Buiding Soc

sashby2002

PPI rejected 2 years ago by Britannia mortgage insurance policy that ran for 6 Years since then I have found original paperwork which states this was a telesales quote it was taken out September 2005. I have sent them a new request due to the Previn ruling, they have replied stating my policy was taken outside the ruling dates, I’m sure this incorrect? Is it worth escalating to Financial Ombudsman? So angry about this. Shirley

dunstonh

I have sent them a new request due to the Previn ruling, they have replied stating my policy was taken outside the ruling dates, I’m sure this incorrect?

It is correct it is out of scope (based on what you have said). We cant confirm if it is out-of-scope on the dates as you have only given the date of the MPPI. Not the date the mortgage was bought. It sounds like you bought the mortgage and the insurance at different times and I am basing my response on that.

Is it worth escalating to Financial Ombudsman?

No. Nothing to be gained as your case is not "in-scope".

So angry about this.

What are you angry about?

The Plevin ruling only applies to plans that were sold at the same time as a credit agreement and fell within the scope of section 140A of the consumer credit act. The plan also has to be in force still by 6th April 2008.

First charge mortgages became in scope [STRIKE]after [/STRIKE] bfore 31st October 2004 (second charge mortgages and unregulated mortgages - such as buy to let are exempt). ie only first charge residential mortgages bought after that date are in-scope. So, for example, if you bought the mortgage in August 2004, it is inside the date range. If you bought after 31st October 2004 it is out of scope.

You say yours was sold by a Telesales person. So, it was standalone transaction and not built into the debt and not arranged at the point of sale of the debt. So, if fails to be "in scope" as there is no unfair relationship as the mortgage and the insurance were done as two separate events.

sashby2002

Hi, the mortgage and PPI were bought at the same time September 2005 does this make a difference?

sashby2002

Also the paperwork I have stated telesales at the top, although we didn’t speak to anybody it was all arranged with the mortgage. We just filled the forms in.

dunstonh

I just checked the guidelines and I had it the wrong way around with the 2004 date. Brain fart moment. So, both of the following need to apply (a bit of copy and paste in there to ensure correct wording)

Under the FCA's rules, complaints about non-disclosure of a commission can only be made about MPPI policies which were connected to credit agreements e.g. loans, credit cards and mortgages that fall within s.140A of the Consumer Credit Act 1974.

- You now confirm they were done together. So, they were linked. So, onto the next stage:

if your mortgage was ‘regulated’ (residential mortgage completed after 31 October 2004) then it is out of scope as it did not fall under the consumer credit act. This is confirmed in FCA publication PS17/03 in section 4.63

Yours was after 31 October 2004. This means it was not regulated under the CCA and plevin does not apply.

sashby2002

I have just copied this wording from another site, correct me if I’m wrong but if the mortgage and the policy were still running until 2012 does not the below apply?
“ Do note also that the Plevin Ruling applies to credit agreements opened after April 2007 or - for those opened before April 2007 - only those which still had a balance outstanding after April 2008.

dunstonh

I have just copied this wording from another site, correct me if I’m wrong but if the mortgage and the policy were still running until 2012 does not the below apply?

No. The date of sale is what matters.

The other dates quoted by you refer to credit agreements regulated under the consumer credit act. Such as personal loans and credit cards. Plevin is all about the consumer credit act. Mortgages were not regulated under the consumer credit act after October 2004.