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pimento
Posts: 6,243 Forumite
My husband had a NatWest mortgage from 1998 until 2016 when he sold his house and moved in with me shortly before our marriage.
He recently discovered that NatWest were still taking the monthly DD for his mortgage protection insurance (£28 a month). He has been paying this since 1998 but he thinks it was probably mis-sold as he is self-employed.
Anyway, he completed an online PPI claim form on the NatWest web site but even though they are still taking the DD, they have said they can find no record of any policy being linked to his mortgage.
Do you think this is a standard letter they have sent out? We can't believe that they would be unaware of the policy because even the most cursory look at his NatWest account will show the payments still being made.
How should he reply to this?
Thanks
He recently discovered that NatWest were still taking the monthly DD for his mortgage protection insurance (£28 a month). He has been paying this since 1998 but he thinks it was probably mis-sold as he is self-employed.
Anyway, he completed an online PPI claim form on the NatWest web site but even though they are still taking the DD, they have said they can find no record of any policy being linked to his mortgage.
Do you think this is a standard letter they have sent out? We can't believe that they would be unaware of the policy because even the most cursory look at his NatWest account will show the payments still being made.
How should he reply to this?
Thanks
"If you think it's expensive to hire a professional to do the job, wait until you hire an amateur." -- Red Adair
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Are you sure it's a form of MPPI and not say life insurance or similar?
Was the policy from NatWest for the protection or was it to someone else?
Ring the bank and ask them what the payment is first
Being self-employed, especially for MPPI, is not a miss-sale reason unless the terms were considered too onerous (such as having to close down your business in order to claim)Sam Vimes' Boots Theory of Socioeconomic Unfairness:
People are rich because they spend less money. A poor man buys $10 boots that last a season or two before he's walking in wet shoes and has to buy another pair. A rich man buys $50 boots that are made better and give him 10 years of dry feet. The poor man has spent $100 over those 10 years and still has wet feet.
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He recently discovered that NatWest were still taking the monthly DD for his mortgage protection insurance (£28 a month). He has been paying this since 1998 but he thinks it was probably mis-sold as he is self-employed.
Most MPPI covers the self employed without any issue.
Is he sure it was MPPI and not life assurance (also often referred to as mortgage protection)?Anyway, he completed an online PPI claim form on the NatWest web site but even though they are still taking the DD, they have said they can find no record of any policy being linked to his mortgage.
Did Natwest sell him the product? Most mortgages are not done via the lender but via mortgage brokers/advisers/estate agents. So, NatWest wouldn't know what insurances he has as its not their business.Do you think this is a standard letter they have sent out?
No. it is the letter they send out when they cant find anything.We can't believe that they would be unaware of the policy because even the most cursory look at his NatWest account will show the payments still being made.
Do you think the bank knows what all your direct debits are for? A direct debit to an insurance company could be MPPI, life assurance, car insurance, house insurance, pet insurance, boat insurance etc etcHow should he reply to this?
By finding out some facts first. Answering the questions on the thread would be a good start.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.0 -
You've asked the Bank to check for Payment Protection Insurance (PPI), the fact that they have said they cannot find any strongly suggests that the Direct Debit he is paying is Life or Critical Illness insurance (or a combination of the two).Anyway, he completed an online PPI claim form on the NatWest web site but even though they are still taking the DD, they have said they can find no record of any policy being linked to his mortgage.
Remember that not all insurance is PPI and not even all PPI was mis-sold.
By asking the Bank exactly what his DD pertains to?How should he reply to this?0 -
OK thanks. He still has all the paperwork but it's in a box in our garage.
If it is life insurance, will it continue to run even if the mortgage account has been closed?"If you think it's expensive to hire a professional to do the job, wait until you hire an amateur." -- Red Adair0 -
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OK thanks. He still has all the paperwork but it's in a box in our garage.
If it is life insurance, will it continue to run even if the mortgage account has been closed?
If it's setup separate from the mortgage then yes it would keep running until you cancelled it (plenty of people leave life insurance running anyway)Sam Vimes' Boots Theory of Socioeconomic Unfairness:
People are rich because they spend less money. A poor man buys $10 boots that last a season or two before he's walking in wet shoes and has to buy another pair. A rich man buys $50 boots that are made better and give him 10 years of dry feet. The poor man has spent $100 over those 10 years and still has wet feet.
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Funny thing. Before we'd even had time to open the garage door to look for my husband's paperwork, Nat West called him about his PPI claim and said they'd be looking into it and would give him a decision within a week.
I asked him whether he'd asked about the letter they had sent and he said he just answered the questions they'd asked him.
Seems they have no idea what they're doing."If you think it's expensive to hire a professional to do the job, wait until you hire an amateur." -- Red Adair0 -
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Well yes, it must be as up to the sale of his house and the redemption of the mortgage, they are only looking to give him 50% of the premiums (it was a joint mortgage) and after November 2016, they will refund all his premiums.
There was nothing else in joint names and he has never owned a credit card or had a loan. (Yes, really.)"If you think it's expensive to hire a professional to do the job, wait until you hire an amateur." -- Red Adair0
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