Back The Petition To Ban Ppi Sales **************

The_D.A

Despite tight regulations by the FSA, Loan companies are still selling costly payment protection insurance to consumers. this product can be purchased independant of any loan at a far reduced cost, and without any conflict of interest. How can a loan company with insurance targets be trusted to sell an appropriate product to a consumer, when their is such temptation to steer them into buying a product that has the greatest financial gain for the commission based salesperson. Working within the industry I am aware of how inflated the premiums are, and how salespeople are still selling PPI in such a way that makes it hard for customers to say no.

iF YOU WANT TO ADD YOU NAME TO THE PETITION TO BAN THE SALE OF PPI , FOLLOW THIS LINK, IF NOTHING ELSE THIS PETITION WILL HELP RAISE THE PUBLICS AWARENESS OF HOW COSTLY IT IS TO TAKE PPI DIRECT FROM THE LOAN COMPANIES.

Petition to: Prohibit loan companies from selling payment protection insurance with credit agreements.

I URGE YOU TO SPREAD THE WORD

jonesMUFCforever

This is pointless.
Whilst PPI is costly - to some it has been a godsend.
What you are contemplating is utter madness.

It would be much safer to stop companies giving out loans. This would protect the stupid and naive from themselves.

The_D.A

EJones999, either you have not read my petition or you have completely missed the point,

I agree PPi can be a godsend, and i would reccomend everyone should seek independant financial advice to ensure they are covered, But not when it is sold alongside a loan product at a finance company (especially in a sub prime market)

Selling it independantly is something i have no problem with, but a family taking out a secured loan over ten years with a loan company, and being sold a payment protection package where the total monthy cost equates to up to a third of the monthly payment is wrong.

especially when they make a claim, (even if only for one month), on redemption they will receive no rebate for the cost of the insurance premium.

Surely their is no one that would disagree with that, unless of course you are very nieve, or happen to be working for a finance company

Dylanwing

If Banks sold a good product at a reasonable price to appropriate customers, the petition would be un-necessary. Unfortunately, that is not the case, so power to the petition.
Stopping giving out loans might have a slightly adverse effects on Bank profits - Worryingly, it is no dafter than some of the Governments ideas for saving us from our vices!

jonesMUFCforever

The_D.A wrote: »

EJones999, either you have not read my petition or you have completely missed the point,

I agree PPi can be a godsend, and i would reccomend everyone should seek independant financial advice to ensure they are covered, But not when it is sold alongside a loan product at a finance company (especially in a sub prime market)

Selling it independantly is something i have no problem with, but a family taking out a secured loan over ten years with a loan company, and being sold a payment protection package where the total monthy cost equates to up to a third of the monthly payment is wrong.

especially when they make a claim, (even if only for one month), on redemption they will receive no rebate for the cost of the insurance premium.

Surely their is no one that would disagree with that, unless of course you are very nieve, or happen to be working for a finance company

Be honest how many people would bother to get independent cover?

Dylanwing

Be honest how many people would bother to get independent cover?

Not quite the point - Perhaps the Banks could sell their cover at proper rates, and only to people who are actually eligible. I agree that cover is a good idea in certain circumstances, but what the Banks sell is vastly over-priced. In fairness to Black Horse, they had a questionare to determine if I needed PPI and agreed that it was not cost-effective.

Tootsie_Roll

ejones999 wrote: »

Be honest how many people would bother to get independent cover?

Exactly - most likely no-one would bother and all of a sudden there would be thousands and thousands more people over on DFW having severe financial problems.

Tootsie_Roll

Dylanwing wrote: »

Not quite the point - Perhaps the Banks could sell their cover at proper rates, and only to people who are actually eligible. I agree that cover is a good idea in certain circumstances, but what the Banks sell is vastly over-priced. In fairness to Black Horse, they had a questionare to determine if I needed PPI and agreed that it was not cost-effective.

So the petition should be a more positve one - Instead of banning banks from selling it perhaps a better idea would be to try and persuade them to sell it at a more competitive price; of course then we would all be paying a higher interest rate to compensate for the lenders loss of income for ppi.

Dylanwing

of course then we would all be paying a higher interest rate to compensate for the lenders loss of income for ppi.

Can I just clarify, are you using this to justify the rip-off? BTW, I agree with the rest of your post.

AGB863

ejones999 wrote: »

Be honest how many people would bother to get independent cover?

People are not always made aware that they can purchase an alternative cover, probably at a significant cost saving, other than what is being offered to them by the bank at the time of signing ther agreement.

Mark7799

So how about a petition to educate people to think a bit more and do some more research before they commit to large expenditure in the future?
1. Do you really need this product?
2. Can you get it cheaper elsewhere?
3. Have you considered what will happen if you lose your job/ fall ill etc etc
4. What about saving up instead?

That way no-one will fall foul of PPI salespeople, high finance charges etc and everyone will be happy