I rang Paratus AMC Limited to ask what my mortgage repayment would be after the Bank of England Rate raise,

I was not surprised to be told it had increased

but was shocked when I was told Paratus AMC Limited had added Buildings Insurance Premium of nearly £50 a month to my mortgage repayments!!

- which means I would be paying over £500 a year just for insurance,

when the fact is I have my own buildings insurance and much lower.

I asked why they had added Buildings Insurance Premium,

I was told it was a legal requirement,

but I've had my own Buildings Insurance in the past

and never had this problem before!

Now out of the blue,

Paratus AMC Limited have added Buildings Insurance Premiumof close to £50 following the Bank of England Rate raise.

I told them I have my own Buildings Insurance and I want the Buildings Insurance they have added to my mortgage to be cancelled,

but they refused to do so,

asking me to send in the insurance schedule,

so they will check it and then decide if they want to cancel it or not.

They also sent me a letter,

detailing adding buildings insurance to my mortgage,

again they should never have done this without asking for my permission

and I don't need it because I have my own insurance.

Paratus AMC Limited have added the Buildings Insurance illegally without my permission,

they can't do this and I want it cancelled with ASAP.

Please help me draft a strongly worded letter I can send to them,

before my mortgage payment is due later this week.

Do I really need to send them a copy of my insurance schedule or will a strongly worded letter be enough?

yes it will

have you all the statements?

if not send them an sar.

I bet you've other penalties too?

like late/letter/phonecall fees etc?

Hi dx100uk!!

I don't understand what you mean by - Yes it will?

I don't have all the statements over the years, I think I may have had late penalty fees but I can't remember for sure

What steps do I need to do now?

I really need to get the letter drafted to cancel the buildings insurance they have added to my mortgage today with your help and sent out before my mortgage is due later this week, time is of the essence.

A strongly worded letter should be enough should it not?

a letter and copy of your ins cert will do

get an sar running for the statements as well

Please can you help draft up a strongly worded letter and what law have they broken by adding Buildings Insurance to my mortgage without my permission, I could include that in the letter?

a letter and copy of your ins cert will do

 

get an sar running for the statements as well

don't need to

you are wrongly charging me for building ins when I already have it

please remove it forthwith

or a complaint will be registered with the FOS

It seems to me that this could be a clear case of mis-selling in which case not only should you receive refunds for all the payments which have been taken but also you should be receiving interest on those payments as well.

In addition to that you should be able to recover late payment fees and other charges that you are able to say would not have occurred had you not been trying to cover the unlawful premiums as well.

How long has this been going on?

Arrange buildings insurance with us

It is part of the terms and conditions of your Paratus AMC mortgage that you have adequate buildings insurance in place.

For more information contact our Insurance Team on 0344 770 8035.

http://www.paratusamc.co.uk/

There is no legal requirement to use theirs (if you did they simply get a bung) nor have you requested it...dont pay it.

Andy

I did what you told me below, sent letter and copy ins cert, my direct debit is showing the next payment due to be taken out in 2 days to still have their buildings insurance included, they have not taken any notice of the letter I sent. They have not changed the DD amount to not include the buildings insurance, what can I do now

I think they will come up with an excuse to not action my letter, please help

a letter and copy of your ins cert will do

 

get an sar running for the statements as well

well change the value if you know what should only be paid

Either cancel the direct debt...this may inure fees but will get their attention....or ring them and warn them you will cancel it unless they confirm correction of the amount.

You have 2 days.....and your bank requires 2 says notice to stop it.

https://www.directdebit.co.uk/DirectDebitExplained/Pages/ManagingDirectDebit.aspx

well change the value if you know what should only be paid

You cant change the value of a direct debit. Direct debits are designed for various amounts over changing dates ( 1 or 2 days)

Your thinking of a standing order.

https://www.directdebit.co.uk/DirectDebitExplained/Pages/WhatIsDirectDebit.aspx

However if the OP really wants to throw a spanner in the works and your prepared to have a fight with them, go to the bank and tell the bank they have been charging you, without your knowledge or consent additional services.

You can claim back ALL payments made to them under the direct debit guarantee instantly

If I cancel the DD, I will miss the mortgage payment, it will be a default and will effect my credit rating.

I will call them to ask to cancel the insurance, but if they say no or say its too late then?

Either cancel the direct debt...this may inure fees but will get their attention....or ring them and warn them you will cancel it unless they confirm correction of the amount.

 

You have 2 days.....and your bank requires 2 says notice to stop it.

 

https://www.directdebit.co.uk/DirectDebitExplained/Pages/ManagingDirectDebit.aspx

I don't know for how long they have been adding the buildings insurance to my mortgage without my knowledge, how do I find out?

You cant change the value of a direct debit. Direct debits are designed for various amounts over changing dates ( 1 or 2 days)

Your thinking of a standing order.

 

https://www.directdebit.co.uk/DirectDebitExplained/Pages/WhatIsDirectDebit.aspx

 

However if the OP really wants to throw a spanner in the works and your prepared to have a fight with them, go to the bank and tell the bank they have been charging you, without your knowledge or consent additional services.

You can claim back ALL payments made to them under the direct debit guarantee instantly

I don't know for how long they have been adding the buildings insurance to my mortgage without my knowledge, how do I find out?

Check your bank statements to see how much the DD has been taken ? You know what your mortgage payment should be (less £50.00) ?

UPDATE...

.they refused to cancel the buildings insurance,

they have taken out the DD with buildings insurance included, which I requested to be cancelled.

Their reply was the mortgage is 1 month in arrears,

meaning Nov's mortgage DD is taken in Dec and so on...etc

they said my insurance renewal which I sent them started after the date of when my mortgage is normally taken...

e.g mortgage taken on 27th and the my renewal for buildings insurance, started on the 29th which is 2 days after.

Thats their argument.

They have told me that Dec's mortgage DD to be taken in next month in Jan will be without their buildings insurance,

but I checked the DD on my account and its still showing the amount to be taken next month in Jan to include their buildings insurance,

they have not changed the DD amount to not include buildings insurance.

They sent me a fax to say buildings insurance would be cancelled for the Jan DD, but they have not changed it, what now?

so for how long have you had your own [years or just recently?]

and for how long have they been charging you for it? [years or just recently]

Had own for a long time, but only found out they were adding their buildings insurance to my mortgage payments recently, they still have not changed the DD amount for next month!! still showing with their buildings insurance.

then for all the years you have had your own insurance

they should be refunding their charges and with 8% int added.

get a reclaim running.

dx

O.k, but they still have not changed the DD amount for next months payment, what should I say when I ring them up?

I have a fax from them saying next months payment would be lowered without the insurance, but the DD amount due next month is not showing that

so what get reclaiming they'll soon sort it.

O.k, but they still have not changed the DD amount for next months payment, what should I say when I ring them up?

I have a fax from them saying next months payment would be lowered without the insurance, but the DD amount due next month is not showing that

It wont change until the date its taken.....Direct debit amounts always shows the previous amount taken

I received a letter today - my mortgage provider has added house insurance which costs an extra £25 to my mortgage payment from next month. So in effect charging me an extra £25 from next month.

The mortgage provider has done this without my permission!! How on earth can they just add house insurance without my written permission to the mortgage.

I already have house insurance in place and sent the mortgage provider a copy of the insurance certificate last month.

I called today and they said they never received the letter I sent the 1st class last month, so they have had no choice but to add house insurance from next month and they are saying I will have to pay because they did not receive the insurance certificate and secondly they cannot cancel or change the direct debit for next month (even with 2 weeks still left)

Please can someone help me draft up a strong worded letter which I can send 1st thing in the morning and this time with recorded delivery since they claim they never received my insurance certificate I sent them previously to show I have house insurance in place.

I'm feeling really angry they have done this and really need your help to draft a letter to tell them they added the house insurance without my permission and to deduct the added house insurance for next months mortgage payment because I'm not paying for the house insurance they have added

I'm really stressed out now.....please can someone experienced please help me draft a letter I can send

What do I do if the mortgage company say they can't cancel the house insurance from next months mortgage payment or make some excuse up?

Please help me

Who is the Mortgage Provider?

there is no legal rule that says you MUST have home contents insurance

the only thing they can demand you have is BUILDINGS ins.

however even that can be cancelled after things are set up. 

argued for years with my provider about this.

said if you want it ...you pay for it and they have since 2008.