Partial reimbursement of Insurance

Noelito

I took out a personal loan with my local Bankia here in Spain (5 year loan). As expected they said I had to pay insurance and advised that it would work out cheaper if I paid upfront rather than in periodic payments, so I did, and the loan was drawn down net of insurance and other costs. (As it happens when they said I should prepay rather than pay periodically I thought they meant I should pay an annual premium rather than a monthly one, when in fact they meant pay the full 5 year premium upfront rather than annual). My question is however that I had every intention of paying the loan back quicker (which I had also told them at the outset!), but they have told me that even if I pay back quicker, they will not reimburse the insurance premium proportionally. Is this standard practice? Do I have any legal grounds to request a refund, (in the event of prompt repayment of the loan)? As an aside, I went to the insurer who said that it was a matter for the bank....Typical ping pong and frustration from these entities.

Regards from a newbie!

Noel

[Deleted User]

You'll need to find a Spanish site for some local knowledge.

D_M_E

MSE, and everyone - or nearly everyone - who posts - is UK based and, as such, will not know much about the Spanish system so will be unable to comment much on your situation.

As it was a Spanish transaction, presumably Spanish law covers it so you would need to investigate the law in Spain or EU law in relation to your problem - either that or find a Spanish version of MSE to post your query.

EDIT - ZX81 beat me to it.