Norwich Union Direct admin charge

[Nathan Reynolds]

Hello all this is my first time on here and start by asking my own question. I have cancelled my insurance with Norwich Union Direct because ten years with this company means nothing to them I found a cheaper company by £200 a year they said we cant match that so I said good by then.

Then they told me there will be a £22 pound admin charge fore cancelling my insurance with them wich they did to me last year after my car failed the MOT so I had to take it off the road. Can they do this to me?

[xrchris]

NU Direct's policy booklet states the following about cancellation.

This will be calculated on a pro-rata basis for the period in
which you received cover and will include an
additional charge of up to £52.50 (inclusive of

Insurance Premium Tax where applicable) to

cover the administrative cost of providing the

policy.

So if they are charging £22.00 it would appear you got away lightly.

[RedDeath]

Yes, unfortunately they can.
Just phone back and tell them that you have a new car. Pick a group 20, tell them its modified, they won't be able to insure you, and no admin charge!!!

[xrchris]

I am mystified as to why NUD have a variable cancellation fee, its not as if one motor insurance policy costs more to administer the cancellation than another one.

	Car Insurance

[mooreda]

let me get this right - you have chosen to cancel the policy at the expiry date and not renew the insurance. If so, they can't charge this cancellation fee. I alway's understood that if the policy was cancelled mid term then a fee would apply.

[wez1211]

I think someone should test this.

I dont see any difference between motor cancellation fees and bank charges. Both are unlawful in my humble opinion as they both do not accurately represent the cost to do the job.

The fact that the cancellation charges are in the policy makes no difference. Bank charges are stated in banks t & c's and yet we are reclaiming. Exactly the same.

You pay up front and cancel after 6 months and only get 3 months premium back - how is that fair? Its a unfair contract term and is way in excess of what it actually costs to cancel a policy.

Wez1211

	Bank Charges You should have started your claim for your bank charges by now. Don't wait. You should send your bank a Subject Acess Request asking for all personal data they hold on you - not just statements. You should calculate all of your bank charges and related interest as far back as 1995. You should send your bank a demand for a refund giving them 7 days. You should commence your legal action adding 8% statutory interest. If you wait for the outcome of the test case, you may not be able to claim like this. you may not be able to claim interest. You may only be offered the difference between the charge and the OFT "fair charge". The repayment scheme will try to limit you to refinds from 2001 only. A repayment scheme will not deal with any bank charges related defaults on the credit register whereas in a court action you can ask for these to be removed and to be compensated for the damage caused to you and your family by them. You should also write to the bank and to the CRA and put all charges related credit entries in disupte and warn them that you will want them removed from the Register when the test case is over. Warn them also that you are likely to be seeking compensation for these wrongful data entries. Full and final settlement Have you previously accepted a partial repayment of your bank charges in full settlement? You will still be able to claim the rest of your money back after the Test case is decided. Get all your information back to 1995 and put in your claim now.

[ScarletPimpernel]

Tesco Insurance (aka Direct Line) tried to charge me £75 cancellation fee + 1 month's premium when I moved to Northern Ireland, where they do not provide cover.

My position was that they terminated the contract by being unable to provide cover. Had this failed I intended to go down the unlawful penalty charge route. Their position was not to respond to letters, and then to start debt collection action. After a particularly shrill and ignorant member of their staff phoned me and demanded that I call them back to pay, and we had a discussion about the OFT Guidelines on debt collection (0870 numbers, tut tut), they immediately passed it to Moorcroft (DCA).

They sent the usual threats, and I responded with a CCA request which they have defaulted on. Tesco sent me two different copies of their standard agreement, with the dates they were printed on them, and the wrong address (neither the one where I was originally insured or my new one). These don't meet the CCA requirements, so thanks to the incompetence of both Moorcroft and Tesco, I now need no longer worry as the alleged debt is now unenforceable.

	Debt collection library Follow this link to our debt collection library. This library contains templates and advice for dealing with debt collectors who act oppressively or unfairly. This library is work in progress and will be built up over the next few weeks. 17.03.09