help! ppi not paying out, have i been mis-sold?

[richardk23]

hi, my wife and i have a secured loan which we took out with picture, we were both recently made unemployed so tried to claim the payment protection insurance on our loan however they refused to pay out saying that i was not covered for unemployment as i had been self employed and that they would not pay out for my wife either because she had only been with her current employer for 5 months and that temporary employmrnt wasn't covered either.

we were unable to make our payments for 2 months as a result and they are now demanding that we make a payment of £550 by the 21st of may of we will lose several no claims bonuses we are due from the ppi, the first of whish is £1400 which we are due in august.

i am now working but with all other bills including mays installment i don't see where i will find an extra £550.

i can't believe they wouldn't pay out on the ppi and may now take our no claims money when we haven't made a succesful claim. i am a bit confused and would appreciate some advice. richard.

[citizenB]

Sounds like it, have a read round the PPI forums and I am sure someone will be along to help you soon.

[alanalana]

hi, my wife and i have a secured loan which we took out with picture, we were both recently made unemployed so tried to claim the payment protection insurance on our loan however they refused to pay out saying that i was not covered for unemployment as i had been self employed and that they would not pay out for my wife either because she had only been with her current employer for 5 months and that temporary employmrnt wasn't covered either.

we were unable to make our payments for 2 months as a result and they are now demanding that we make a payment of £550 by the 21st of may of we will lose several no claims bonuses we are due from the ppi, (why continue to pay if you are not covered?) the first of whish is £1400 which we are due in august.

i am now working but with all other bills including mays installment i don't see where i will find an extra £550.

i can't believe they wouldn't pay out on the ppi and may now take our no claims money when we haven't made a succesful claim. i am a bit confused and would appreciate some advice. richard.

 

This looks like a clear case of mis-selling IMO.

 

My advice is to start by send a Subject Access Request with the statutory fee of £10.00. Check the forum stickies for more information and libraries for a SAR template.

 

They should produce within 40 days:

A true copy of the Consumer Credit Agreement with the terms and conditions applicable to that agreement at the time the loan was taken out.

Copies of all statements up to date,

Copies of all correspondence letter, email.

Copy of the needs and wants questionnaire/customer duty of care questionnaire that they should have completed at the point of sale to ensure the product was suitable for you (clearly it was not).

All other data applicable to you as a data subject that they hold in whatever format paper, electronic, CD, microfische, tapes of transcripts of tapes of telephone conversations.

 

If you do not get a response within 40 days, bang in a complaint to the Information Commissioner Office.

 

As you have now found out the PPI is worthless to you and you are inelligible to make a claim, You should consider cancelling.

 

If you have paid PPI payments for any lenth of time xx months work out what you have paid in premiums including the interest and see how much you have paid.

 

By cancelling you would:

 

Cease paying any more PPI premiums. (Saving) Try though to get cover elswhere google or Money Saving Expert will help here.

 

Be able to claim for mis-selling and ask for all the premiums paid with the interest on those premiums.

 

If they respond with a refusal or fail to respond at all within 8 weeks you can complain to the Financial Ombudsman Service or Court if you go to court and lose the FOS will not take up your claim if you go via the FOS route it will take months but if they do not uphold your complaint you can then proceed to Court to claim mis-selling.

 

The FOS would more than likely also get you the Statutory 8% interest on top as they did with my own case.

 

Try and work out firstly if the premiums paid are anything like the no claims bonus you are due.

 

I do not believe any no claims bonuses would match anything like the amounts of PPI premiums you would pay over the life of the loan. Worth checking this out.

 

hope this helps;)

 

aa

[richardk23]

hi, thanks for your reply. i am not sure exactly how much the ppi is per month as the total ammount for the ppi was £5,988.00 which was just added to the loan at the start and i believe is spread over the life of the loan which is over 240 months. i also think that this only covers us for the first 5 years which it didn't anyway.

[andie_303]

Were you self employed at the when you took out this loan - also check the exclusions in the policy booklet - if it definatley says no self employed then yes mis-sold.

 

Had your wife just started a new job - was this supposed to be a permanant contract that was made redundant?

If so they cannot claim temporary contract.

 

If you don't mind me asking who is the insurer??

[alanalana]

Ref my post 3 here is the link to a template for the SAR.

 

Data Protection Act 1998 - Subject Access Request

 

aa