PPI Reclaiming discussion Part II

di3004

And this again on the agreement though:

If payment protection has been selected, the single premium amount is shown in part B, where cover is for 60 months or over the term of the loan, if the term is less than 60 months and by signing below you request the Insurers to provide such insurance on their normal terms and conditions.
You confirm that you are in good health and are not aware of any impending unemployment.

Where you have selected to take one of the PPI plans the cover shall only extend to the first named borrower in the even of the single cover had been selected or the first two named borrowers if and where joint cover is chosen.

In the event of any claim, any information you may provide may be put onto the register of claims through which the insurer share such information to prevent fraudulent claims.
A list of particulars and the name and address of the operator are available on request.

This agreement was received by post more than 8 days after you received completed copies of the proposed credit agreement, the legal charge, standard security or mortgage/loan, the leaflet containing full of details of the life/accident and unemployment insurance and the FISA or Endeavour Personal Finance borrower information guide

This agreement incorporates the above provisions and the terms and conditions (separate document).

marshallka

di3004 wrote: »

Have pm'd ya.....:D
Yeah I know what you mean hun cheers.;)

The only part which states about the cancelling is on the agreement and not the terms and conditions where it says:
Your rights:
Under the Consumer Credit Act 1974, we should have given you a copy of this agreement at least seven days ago to allow you time to consider whether ot not to to ahead.
If we did not, the agreement cannot be enforced without a court order.

I will have another look after though amonst the other paperwork just in case, but so far this is what we have.

I have looked at the back of the agreement and it states that where payment protection insurance has been selected this document proof to confirm that you have received the details of the payment protection insurance and are aware that a copy of the policy setting out all terms and conditions is available on request...

marshallka

di3004 wrote: »

I did actually come across a bit of info, not in the terms and conds though, it was just a part of the paperwork: This is when you settle and not cancel.

If your method payment is direct debit, please cancel this with your bank on the day remit your settlement payment to us.
Please note that if you wish to settle before the settlement date your may be entitled to a "Refund".

Still nothing on cancellation though.......

It says on the agreement that early repayment is in accordance with the Consumer credit regs 1983 and that is use of rule 78 but they did not use this method on the insurance as this was not front end loaded as you got the rebate that you got. Its when they use it in the PPI that it becomes unfair. I wish tiggrae was here to state where your rebate was unfair... It was her that told you to go for it and I want her to be able to tell you and me where to go from here with this one...

di3004

marshallka wrote: »

It says on the agreement that early repayment is in accordance with the Consumer credit regs 1983 and that is use of rule 78 but they did not use this method on the insurance as this was not front end loaded as you got the rebate that you got. Its when they use it in the PPI that it becomes unfair. I wish tiggrae was here to state where your rebate was unfair... It was her that told you to go for it and I want her to be able to tell you and me where to go from here with this one...

Thanks hun I appreciate it.:T
That is all I received within the SAR though, and calculations of this and that, which was underwriters work.

Did you actually come across anything to do with the cancellation terms though, in case I missed this ?

di3004

Need to pop out to chemist to collect some prescriptions for the in laws lol, bk soon.:D .

maxdp

Marshallka

Have pm you.

marshallka

maxdp wrote: »

Marshallka

Have pm you.

emailed you back....

marshallka

Tron_ess explained it here



When you are claiming a rebate for cancelling insurance - insurers are still allowed to use Rule of 78. They merely take the premium amount - and apply their calculation to that. Then take that from the current loan.

The point I was making is that few actually give you Rule of 78. What they do is apply rule of 78 against a % of the original premium. They may only apply the rule of 78 against 25% of the premium. This means that if you cancelled after 45 days - you'd only get 25% rebate. That's their starting point!!! If you use true rule of 78 on a 5 year policy and cancelled in Month 2 you get approx 85% back. (crude maths here - but you get the picture).

Basically if firms were applying rule of 78 FOS would have no issues. The fact is that they first take 50% or more away, and then apply rule of 78!!



This is the difference between some firms.....

lilac789

I took a loan out with Northern Rock in 2006 and was told I had to take PPI or wouldn't get the loan. In 2007 my circumstances changed so I asked if I could extend the loan by 1 year and was made to take out and reapply for a 2nd loan, at a higher interest rate, with PPI.

I have since closed this loan account, but no longer have any paperwork for it, as I shred everything!

Can I still amke a claim against Northern Rock... especially as they have now been nationalised?

Thanks

marshallka

lilac789 wrote: »

I took a loan out with Northern Rock in 2006 and was told I had to take PPI or wouldn't get the loan. In 2007 my circumstances changed so I asked if I could extend the loan by 1 year and was made to take out and reapply for a 2nd loan, at a higher interest rate, with PPI.

I have since closed this loan account, but no longer have any paperwork for it, as I shred everything!

Can I still amke a claim against Northern Rock... especially as they have now been nationalised?

Thanks

Yeah, you first need to ask for copies of the agreements from them or ask for copies in one letter and send a letter of misselling in another. They should find your details by your name and address (if the same as the ones for the loans).


Just take a look at the link here and see what you can add and delete from the letter that you send. There is also a template letter on there too but sometimes it can be better to make your own up from this.

You then write to the firm that actually made the sale of the PPI to you if this is different from the lender and don't forget to send this recorded delivery so you always a proof and dates etc.

After that you have to give them 8 weeks for a full and final response. In this time it is usual to get a response of "sorry we sold this to you fairly" but you then respond to this and reiterate your complaint again. The next time they write they either give you a final response which you would need in order to take this complaint to the FOS or offer to settle.

http://www.moneysavingexpert.com/rec...urance#reclaim


Good luck

ps also make sure you make a complaint about BOTH loans here. You would have only got a small rebate back for the first PPI.