Complaint of mis-sold PPI refused by British Gas... Any advice??
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Angie8170
Posts: 4 Newbie
I have recently made a complaint with British Gas for mis sold PPI on a loan which was taken out in 2003 for a new boiler and installation.
The loan was setup through British Gas (as the broker) but the loan was provided by GE Money. Unfortunately I did not still hold the paperwork but as the loan was for 60 months I made my last payment in 2012 so therefore GE money still held the paperwork which confirmed PPI was included.
I have had various difficulties with British Gas who first declared that there was no PPI included in the loan. When I stated that GE money had already confirmed that PPI was included within the payments, British Gas stated that no longer held the paperwork so could not check this.
I have provided copies of the loan agreement with my statement that when the loan was sold to me by the British Gas salesman - he did not indicate the PPI was optional (and now seeing that he received £390 commission from the sale I can understand why)
I have now had a response to my complaint with British Gas who have stated :-
"The policy was sold before the sales of insurance became regulated by the financial services authority (FSA), now the financial conduct authority (FCA). British Gas were acting as a credit broker at the time of sale and were not subscribed to any of the voluntary codes that preceded FSA regulations, such as the general insurance standards council (GISC) private customer code.
As British Gas were not under any obligation to adhere to these codes, the heating sales adviser (HSA) was not able to offer you any advice, or make any recommendation to you about whether the policy suited your needs.
Can i have your thoughts on the above response from British Gas? Because the loan was set up before FSA does this mean that they have a 'get out of jail free card's?
Many thanks.
The loan was setup through British Gas (as the broker) but the loan was provided by GE Money. Unfortunately I did not still hold the paperwork but as the loan was for 60 months I made my last payment in 2012 so therefore GE money still held the paperwork which confirmed PPI was included.
I have had various difficulties with British Gas who first declared that there was no PPI included in the loan. When I stated that GE money had already confirmed that PPI was included within the payments, British Gas stated that no longer held the paperwork so could not check this.
I have provided copies of the loan agreement with my statement that when the loan was sold to me by the British Gas salesman - he did not indicate the PPI was optional (and now seeing that he received £390 commission from the sale I can understand why)
I have now had a response to my complaint with British Gas who have stated :-
"The policy was sold before the sales of insurance became regulated by the financial services authority (FSA), now the financial conduct authority (FCA). British Gas were acting as a credit broker at the time of sale and were not subscribed to any of the voluntary codes that preceded FSA regulations, such as the general insurance standards council (GISC) private customer code.
As British Gas were not under any obligation to adhere to these codes, the heating sales adviser (HSA) was not able to offer you any advice, or make any recommendation to you about whether the policy suited your needs.
Can i have your thoughts on the above response from British Gas? Because the loan was set up before FSA does this mean that they have a 'get out of jail free card's?
Many thanks.
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I have now had a response to my complaint with British Gas who have stated :-
"The policy was sold before the sales of insurance became regulated by the financial services authority (FSA), now the financial conduct authority (FCA). British Gas were acting as a credit broker at the time of sale and were not subscribed to any of the voluntary codes that preceded FSA regulations, such as the general insurance standards council (GISC) private customer code.
As British Gas were not under any obligation to adhere to these codes, the heating sales adviser (HSA) was not able to offer you any advice, or make any recommendation to you about whether the policy suited your needs.
Can i have your thoughts on the above response from British Gas?
Seems to be right. PPI on a loan which was taken out in 2003 through a broker would be pre-regulation....Because the loan was set up before FSA does this mean that they have a 'get out of jail free card's?
Yup.0 -
Can i have your thoughts on the above response from British Gas?
It is the correct response and the one you would expect on a pre-regulation sale by a broker.
Brokers do not need to consider pre-regulation sales unless they were members of the GISC or ABI (which is why the banks have to consider pre-regulation cases).Because the loan was set up before FSA does this mean that they have a 'get out of jail free card's?
It means that as they were not regulated or member of any professional body at the time, they had no regulations to follow and could not breach regulations that did not apply to them.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
If the loan was taken out in 2003 over 60 months it should have been paid off in 2008 not 2012 surely?0
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Thank you for your help - pointless taking this to the Financial Ombudsman then..... It just annoys me how British Gas acted at the point of sale as they automatically included PPI without my knowledge..... Oh well !
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Sorry ! Meant to have said 120 months as it was a 10 year loan.... Thanks
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They wouldnt have done it without your knowledge,
You just signed to say you read, understood and accepted the terms and conditions without actually bothering to read them, as lots of us domake the most of it, we are only here for the weekend.
and we will never, ever return.0 -
Very true, I just accepted what was explained to me without reading the small print. I was only in my early twenties and financially naive - l'm 15 years older and wiser now - all paperwork is read before signing !! !!!128077; 0
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Would it be possible to jump on this thread, but im after contact details for british gas. A friend of mine got a loan with them around 2004 and it was all paid off years ago, but he would like to make a PPI claim against it. only thing is British gas don't offer loans anymore and they havent been helpful. Does anyone know who took on from their loans or where my friend could go to get account details for that old loan (im afraid hes got no paperwork regarding the loan) Many thanks in advance0
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British Gas acted as the broker, brokers were not regulated at the time, so have no liability. See posts #2 and #3 above.. . . british gas. A friend of mine got a loan with them around 20040
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