MIS-SOLD LOAN??! 😡

DebandTom

Hi, my Mum has recently died and I'm the executor for her estate. Long story short - she hasn't managed her affairs well over the years and I have now discovered that she took out an unsecured loan 11 years ago that she defaulted on. She still owes more than 75% of the original loan and the debt is held by a debt management company.

The reason I am so shocked is that she also has a mortgage with the same bank that she regularly defaulted on, has never worked and, apart from state benefits, she only had a small private pension from my late Dad. I'm waiting to hear whether she was also sold a PPI but even so, in my mind it's a case of mis-selling surely?

I don't have probate as yet. Any advice as to how I progress my concerns and if I will need a solicitor? I'm currently handling her estate myself. MTIA

jefaz07

If it’s 11 years ago is it not barred? 

[Deleted User]

DebandTom said:

I'm waiting to hear whether she was also sold a PPI but even so, in my mind it's a case of mis-selling surely?

Impossible to come to that conclusion from what you've posted.

You can raise your concerns with the bank, but you'll need to stick to the facts. Unless you were there when she filled in her application, your complaint is going to be need to be very topline.

Certainly don't waste your money on a solicitor, given you have a free complaints procedure.

jonesMUFCforever

PPI claims now finished - no claim can be put in.
How much is the estate worth?

DebandTom

jonesMUFCforever said:

PPI claims now finished - no claim can be put in.
How much is the estate worth?

Thanks, according to their website they will consider claims with "exceptional circumstances". Worth a try but I'm not sure if I can claim on her behalf anyway 🤷

Thrugelmir

You'll need factual evidence not simply an opinion. Suggest you spend some time going through your late mothers paperwork and building a picture. If it's possible of course. 

macman

DebandTom said:

jonesMUFCforever said:

PPI claims now finished - no claim can be put in.
How much is the estate worth?

Thanks, according to their website they will consider claims with "exceptional circumstances". Worth a try but I'm not sure if I can claim on her behalf anyway 🤷

As executor, yes, you can claim on behalf of the estate, once you have probate But, as others have advised, your chances after 11 years have elapsed are near zero.

bris

Is there an estate to claim on? If not the debt is unenforceable. Was she making payments keeping the debt alive? 

A solicitor will bleed you dry, I have seen solicitor handle estates and it ends up costing most of the estate so be careful who you employ.

Using a solicitor on something like this will see the hours pile on and at 300 quid an hour it soon mounts up.

Mis selling loans seems to be a buzz word just now, it wasn't mis sold when they spent the money, if the estate has funds pay it.

 

sourcrates

This is Martins take on things, with regard to the PPI -

https://blog.moneysavingexpert.com/2019/07/martin-lewis--how-to-urgently-reclaim-ppi-for-a-deceased-relativ/

However the deadline for PPI reclaiming has now passed, so you may be out of luck on that one.

A similar process exists for mis-selling, all it takes is a written complaint, nothing special, however, you most likely will be asked for proof of what you allege, and also after 11 years, they may just claim that time has run out to make a complaint.

MinuteNoodles

Even if you won a PPI claim and a loan misselling claim any payouts would merely go to service the rest of the debts she died owing.

[Deleted User]

bris said:

Is there an estate to claim on? If not the debt is unenforceable. Was she making payments keeping the debt alive? 

A solicitor will bleed you dry, I have seen solicitor handle estates and it ends up costing most of the estate so be careful who you employ.

Using a solicitor on something like this will see the hours pile on and at 300 quid an hour it soon mounts up.

Mis selling loans seems to be a buzz word just now, it wasn't mis sold when they spent the money, if the estate has funds pay it.

 

Thats not quite true we have just had a probate done and the total charge by the solicitor was less than £2300