PPI Reclaim Solicitor wants me to get ATE Insurance?

EddyUK

Hi all, i am sorry if this has been asked before, basically i have reclaimed £260 through ppi reclaim company and now they have referred me to a solicitor firm which they are pushing bank for further £690 ppi reclaim. Solicitors now trying to take the bank to a court and they've send me few forms with cost break down. Their cost is 30% + vat as well as they want me to take out ATE Insurance for £390 incase we fail.


My question is, is ATE insurance on ppi reclaim necessary or are they just pushing me to take out ATE insurance because they might be getting commission from the insurance company themself. Thanks in advance.

[Deleted User]

Run away, unless you have £390 more money than you need.

If you can cancel the contract entirely, then do so.

The_squirrell

ABSOLUTELY NOT! If they are not happy with a response from your bank, then they should be going to FOS first. Its just another example of a CMC trying to get their cut of everything they can. They will have a nice cosy relationship with that solicitor, who will probably inform you that you have also been missold your mortgage and should also claim on that!


I would like three guesses who this CMC may be. I would probably only need one though!

EddyUK

Thank you guys as i thought i wont go ahead with it. For reference PPI reclaim company was FastTrackPPI and solicitors are JosephJamesLaw and ATE insurance is from Leeward Insurance.
@the_squirrell, i agree it felt like a money grab circle between these companies.

SonOf

You are potentially being seen as a cash cow by the unscrupulous. ( I saw potentially as we only have what you are telling us and that may be inaccurate or incomplete).

They say there is another £690 to come.
They want to take 30% plus VAT. That is £248.
They also want you to pay £390.
That makes a total cost of £638.

Would anyone in their right mind pay £638 on the unlikely chance of getting £690?

If your complaint was originally successful, you get a full refund plus interest. There is nothing else to refund.

The_squirrell

I just knew it would be that insurance company, who are based in the Bahama's. Nothing wrong with that specifically, but they were also the ATE insurers for Allansons Solicitors who sold a "no risk" opportunity for investors to fund litigation funding for "missold mortgages". Allansons were shut down by the SRA and investors have lost all money ( so far)....and the mortgages were not missold!


As others have said....steer well clear!

SonOf

I just knew it would be that insurance company, who are based in the Bahama's. Nothing wrong with that specifically, but they were also the ATE insurers for Allansons Solicitors who sold a "no risk" opportunity for investors to fund litigation funding for "missold mortgages". Allansons were shut down by the SRA and investors have lost all money ( so far)....and the mortgages were not missold!

The missold mortgages being a front for bad behaviour with CMCs and solicitors is not over yet either. You can see crowdfunding for investors in litigation where they need to show they have x number of mortgage complaints lined up. The more they people that get signed up, the greater number of mugs that will pay into the crowdfunding.

Ben8282

If the bank have agreed to pay the £260 what are the grounds for them believing they can obtain a further £690?
Assuming the £390 is the cost of the insurance policy and not the level of cover (your OP could be read both ways) then, as pointed out in the calculation above, what would be the point? If you win you gain £52.
Not worth the risk.