Northern Rock PPI

[charlie11]

Hi there,

 

I wonder if anyone can assist me. I took out an unsecured loan with Northern Rock in 2006 and am now beginning to see just what a rip off the ppi cover is, alternate cover is so much cheaper.

 

I contacted them last week to be told that I would need to refinance the loan with them. I understood that this was a stand alone plan, so why the need for another full loan application? What happens if you now fail their credit checks and what about the apr which was reasonable at the same but may well be extortionate now?

 

Not quite sure how to proceed, any assitance would be appreciated.

 

C

[pompeyfaith]

Re-financing the loan is the usual practice as the current agreement has the PPI on.

 

So they have to execute another agreement minus the ppi which is ok so long as they do it at the same APR.

 

As you already have an agreement with them its very unlikely that they will do another credit search as it will gain them nothing.

 

So when you go in there insist that this new agreement is the same APR and T&C's

 

Is your right as they agreed to the loan and you are only having the PPI removed which is a racket.

 

Regards

 

Pompeyfaith

[charlie11]

many thanks for your help, I will get in touch with them during the week and take it from there.

 

C