MBNA Payment Protection Reduction In ASU Benefits

[pringles6uk]

Hi

 

I wonder if anyone can help me on this issue.

 

The Background to this is I had a Bank of Scotland Credit Card where I took out the payment protection cover in 1994 when MBNA aquired this credit card they continued to charge me for the payment protection cover but the benefits have been reduced to 5% of the outstanding balance in respect of involuntary redundancy (Unemployment Section) of the policy compared to 10% I would have had under the policy with Bank of Scotland.

 

The policy was transferred in February 2006 but the sale was well before this I think.

 

I find myself in the position of been unemployed now and although I have had to conversations with MBNA they say that this is their St Andrews Policy cover and the 5% benefit is all I am entitle to.

 

I checked with Bank of Scotland and they advised their benefit is 10% and is also cheaper @ 0.78 pence as MBNA is 0.79 pence per £100

 

How can they just reduce my policy benefits? also what do I need to do to try and resolve this situation any help would be appreciated.

[alanalana]

Hello pringles,

 

welcome to the PPI forum.

 

I am no expert on credit cards but the reductions in policy benefits with no reduction in premium payments smells a bit fishy and my advice would be to start a post in the legal forum. Make it stand out to catch the eyes of the Moderators and I am sure you will get advice on the legallity of policy changes on transfers of business.

 

Hope this helps you get started.

 

Good luck

aa

[alanalana]

Hello pringles,

 

You and me both not having much success in the legal forum, cannot give you an answer to your problem maybe a more profound thread title in legal may give you a better chance of response..

 

May I suggest.......Changes to BOS credit card T & Cs on takeover by MBNA can this be Legal?

 

Good luck

 

aa