LLoyds LPI Claim

[Mikey40]

Came across this site after being directed to it by a friend, and after taking time out read some of the comments and threads on here I'm glad I did. I wasn't aware of how big the whole PPI problem was, it got me thinking about my current loan wth Lloyds TSB... I have had a loan with them for about 8/10 years and it has been restructured a couple of times, the last being in Feb 2007. I am currently paying back a loan for £15,000, which includes LPI (Loan Protection Insurance) of £4,580, making the total loan about £19,500, and the length of the loan is 84 months. I'm nearly halfway through this, but after reading some of the issues regarding PPI I'm wondering if I have a case to reclaim? Some of the immediate questions I have are: 1) Is LPI the same as PPI, 2) Do I have a case, even though I'm nearly halfway through the loan?

Looking back when I had the loan redone I felt pressurised into accepting the new terms, and wasn't given any advice or time by my then account manager to go way and think abut things, especially the issue of LPI, whether I needed it or not, and I wasn't made aware that other loan insurance could be obtained elsewhere and in a lot of cases at a cheaper rate. It was all done in a flash, maybe I should have insisted I have more time, but hindsight is a wonderful thing! I suppose what I'm wondering is whether I have a case to reclaim the LPI or the only option is just to cancel it? Help help or info would be much appeciated.

Mikey40

[alanalana]

Came across this site after being directed to it by a friend, and after taking time out read some of the comments and threads on here I'm glad I did. I wasn't aware of how big the whole PPI problem was, it got me thinking about my current loan wth Lloyds TSB... I have had a loan with them for about 8/10 years and it has been restructured a couple of times, the last being in Feb 2007. I am currently paying back a loan for £15,000, which includes LPI (Loan Protection Insurance) of £4,580, making the total loan about £19,500, and the length of the loan is 84 months. I'm nearly halfway through this, but after reading some of the issues regarding PPI I'm wondering if I have a case to reclaim? Some of the immediate questions I have are: 1) Is LPI the same as PPI, (YES)

2) Do I have a case, even though I'm nearly halfway through the loan? (If you have valid reason/s to claim mis-selling then yes you have a case, Please see the links below there are a multitude of reasons PPI was mis-sold)

Looking back when I had the loan redone I felt pressurised into accepting the new terms, and wasn't given any advice or time by my then account manager to go way and think abut things, especially the issue of LPI, whether I needed it or not, and I wasn't made aware that other loan insurance could be obtained elsewhere and in a lot of cases at a cheaper rate. It was all done in a flash, maybe I should have insisted I have more time, but hindsight is a wonderful thing! I suppose what I'm wondering is whether I have a case to reclaim the LPI or the only option is just to cancel it? (If you cancel you would be wise to ensure you have alternative insurance cover. You can get it much more cheaply than from the Creditor) Help help or info would be much appeciated.

Mikey40

 

Hello Mikey,

 

Yes LPI is the same as PPI 90% of it mis-sold according to the Financial Ombudsman Service results in favour of consumers.

 

Please have a read through the stickies at the top of this forum.

 

IMO you should send a Subject Access Request to get all the data. Work out the reasons is was mis-sold see this link on mis-selling...

 

PPI - Some Notes for Claimants.. This give the reasons for mis-selling

 

These links on Subject Access Requests.

 

Full SAR for ppi

 

and this link for much much more...

 

Mis-sold PPI? Want your money back? use these links to help

 

This is from the last link and worth a read.

 

THIS LINK IS IMPORTANT TO YOU ON RECLAIMING IT IS FROM 2001 FROM THE FOS

loan payment protection insurance and a quote from this link...

 

Quote:

When determining whether a policy is suitable, a seller – whether a lender or an agent for the insurer – must obviously take into consideration any information the prospective policyholder volunteers. However, we do not consider the seller’s duty is limited simply to recording what the borrower discloses. It is only by asking questions that the seller can properly determine suitability. These questions cannot cover every aspect of a borrower’s personal position and should not be expected to do so. To paraphrase the ABI Statement, only those matters deemed to be relevant by the insurer should be the subject of questions.

Read, gather data and then claim your money back. The data is important as if you have had several loans refinancing each other you will need to see statements to show any outstanding PPI on earlier loans has been rebated and not just carried on to the next.

 

aa

[RedVixen]

Well in Lloyds case apprentice 97% of PPI/LPI claims are settled at the FOS stage although I am not sure if this includes the ones they roll over on as soon as it gets there or is just the ones that get to an adjudicator

[Mikey40]

Just had a letter back from Lloyds TSB saying they have received my SAR request and have stated they will send me my details before 23rd November. I wait with baited breath, hopefully the first step will be soon out of the way!As I'm claiming on a mis-selling of a LPI through Lloyds I was just wondering if I should actually cancel the policy or continue with it until the claim is followed through? Any thoughts appreciated...

Cheers

Mikey40

[alanalana]

Hello Mikey,

 

I have merged your two threads to help keep everything in the same area

 

aa

[Mikey40]

Many thanks alanalana

[hisholinessthepope]

Any more news Mikey40?

 

I spent this afternoon looking over a SAR from Lloyds for a member of my family. They have had 6 loans from Lloyds over the last 7 years. Each new loan paid off the previous and every one has LPI added to it. I didn't add it all up but the LPI on the lot is well over £10,000!

 

So I am now reading lots of PPI threads and getting up to speed.

[Mikey40]

Well the current situation is this... They gave me a deadline of 23rd November for sending all the information I need, and by the looks of it I think I've got everything now, so am just going through everything again before composing my letter concerning the misselling of PPI/LPI. As mentioned by 'hisholinessthepope' I'm in the same position of having my loan updated/recalculated over a number of years for various reasons. I'd like to list what these have been and see if anyone could give me a heads up on how much I should be seeking to claim back or to put me on the right track!

 

1st Loan period covered 19th Oct 2001 to 31st July 2002

Loan £10,000 and LPI of £2,143.03 (Interest Rate 9.96%) Term 60 months

2nd Loan period covered 26th July 2002 to 15th May 2003

Loan £11,100 and LPI of £2,455.59 (Interest Rate 11.34%) Term 60 months

3rd Loan period covered 15th May 2003 to 15th April 2005

Loan £15,000 and LPI, no mention on statement (Interest Rate 10.43%) term 60 months

4th Loan period covered 15th April 2005 to 13th February 2007

Loan £15,000 and LPI, no mention on statement (Interest 10.43%) Term 60 months

5th Loan period covered 13th Feb 2007 to 27th Sept 2008

Cashback Loan of £15,000 and LPI of £4,580.92 (Interest 11.33% per annum) Term 84 months

6th Loan period covered 8th February 2009 to 25th October 2009 (Interest 11.33% per annum) Term 84 months

 

Basically the above are the statements sent through to me over the past weeks, showing how my loan has been extended etc.

Well I am definitely following up the case of misselling and with being a Lloyds customers for over 20 years I'm not going to take no for an answer if you know what I mean!! Ha! Now just got to reread the policy again about cancelling the LPI, as I feel I shouldn't still be paying for a product which I can get cheaper elsewhere! Any help or guidance on the above would be massively appreciated. Well got a feeling it might be a long road, but the successes on here do give me heart to keep at it... here goes!! Mikey40

[hisholinessthepope]

Mikey looking at your list it so similar to the one I am looking at. Lloyds obviously had a policy to target certain individuals with these loans for reloans to get more money, more commission and big fat profits. My own relative was simply aghast when they realised what had gone on with each loan and the LPI being lumped on each time when we went through the statements and put them in order.

 

From my research so far I can tell you that the lumps of LPI you note are PPI that was "front loaded" on the policy. As opposed to added each month based on the balance.

 

Also PPI before 14 Janaury 2005 was dealt with by three trade bodies Association of British Insurers (ABI) general Insurance Standards Council (GISC) and the Finance and Leasing Association (FLA).

 

PPI - rules before 2005 - How to tell if you?ve been mis-sold PPI - Your money - Which? Advice

 

After 2005 it all is FSA.

 

FSA unveils tough measures to protect PPI consumers

[hisholinessthepope]

Post number 3 in the link below is a start for any claim letter to Lloyds

 

http://www.consumeractiongroup.co.uk/forum/payment-protection-insurance-ppi/230010-lloyds-tsb-missold-ppi.html

Edited November 20, 2009 by hisholinessthepope

[Mikey40]

I spoke to soon!! Received a big package from DHL Saturday morning with a huge wadge of stuff from Lloyds! A lot of it is not needed but did give me some extra info to put in any correspondance to them. Will get a claim letter out to them this week (using the template provided, many thanks), listing my grievances etc, one point I would like to mention again is can I cancel paying for the LPI, would it affect my claim? According to their terms and conditions it is ok to cancel the LPI at any time, but was just wondering if anyone else had any issues with Llloyds when they did this? Any will get the letter out first regarding the reclaim and sit back and watch the fun and games begin!!

Mikey40:shock:

[RedVixen]

Cancelling the PPI was one of the conditions of LLoyds offer to me via the FOS, so go ahead and cancel it. They will probably not reduce your payments by the ammount of the PPI element they normally tell you that they will keep repayments as they are and reduce the payment term

[Mikey40]

Been going over some of the info Lloyds sent me after my SAR and have noticed I'm currently paying IPP (Income Protection Plan) too through Scottish Widows, set up by Lloyds! Is it worth mentioning this in the reclaim letter regarding the LPI? Currently refining the first draft and hope to send it out before the end of the weekend. :-|

[alanalana]

Been going over some of the info Lloyds sent me after my SAR and have noticed I'm currently paying IPP (Income Protection Plan) too through Scottish Widows, set up by Lloyds! Is it worth mentioning this in the reclaim letter regarding the LPI? Currently refining the first draft and hope to send it out before the end of the weekend. :-|

 

Yes claim it back, all of this insurance was generally not worth the paper it was written on it was purely a way of boosting their profits IMO.

[Mikey40]

As now completed letter regarding claiming LPI back, can anyone tell me where the best place is to send the letter? Do Lloyds have there own claims department? Be easier rather than just sending it and it ends up going to about 3 or 4 departments (which it probably will do anyway!!). Thanks

Mikey 40:)

[citizenB]

In the absence of a dedicated address, send it to their Registered office which will be on the bottom of any of their letters. It will be directed to the correct office from their.. so only two departments rather that 4 or 5

 

Send your letter at the very minimum Recorded Delivery.

[Mikey40]

Well here goes, will be sending this letter later today, any thoughts or tips before I send would be most grateful. Think I've covered best I can...

 

'Lloyds PPI

Customer Care

Lloyds TSB Insurance

Tredegar Park

Newport

South Wales

NP10 8SB

 

Dear Sir or Madam,

 

Ref: LPI (Loan Protection Insurance)

 

Account numbers: ************

 

 

I purchased the above initial policy and then subsequent restructured policies from you starting 19th October 2001, but now believe that after thought and consideration I was mis-sold LPI (Loan Protection Insurance) with the loan policies mentioned above, for the following reasons:

This is due to the fact that I believe I was not given the correct information when the policy was sold to me, I was not told at the time of signing of the agreement (19/10/2001) that the LPI was optional, and that other, more competitive, products of this type were available to me. At the time I was a little concerned whether I needed the LPI but was given the impression that it came with the loan and wasn’t given the time during the initial agreement to go away and think about whether the LPI was needed with the loan itself. With this in mind I am concerned that the person who sold me the LPI has no financial background and the policy was not sold in my best interests.

I am also currently paying for an Income Protection Plan (CD7412B) via Scottish Widows, which is a similar plan, that can cover any loss in employment, and I’m wondering why I was sold very similar products without any real consultation on whether I needed both products.

After becoming aware of the widespread mis-selling of PPI/LPI by some financial institutions, following recent media coverage and recent OFT and FSA investigations regarding the mis-selling of PPI, I thought I would investigate my own policies and believe I have in fact been mis-sold LPI on all of my loans to date.

Unless you can satisfactorily justify to me that the policy/policies was/were fair and reasonable I am requesting a full refund of all premiums, and subsequent interest on these payments, that I have paid to date. As I believe I have been deprived of this money I also expect 8% statutory interest, the amount a court would award, to be added to each payment made.

With this action in mind I would like to cease payments of this LPI immediately, and for my current loan payments to be adjusted to reflect the cessation of these payments.

As a loyal Lloyds TSB customer for nearly 15 years I feel I should have been given a full and reasonable description of why I needed this type of loan, now looking back over the loans and payments I have made it has left a little bit of a baste taste regarding customer satisfaction with Lloyds TSB.

I look forward to a full and prompt response to this letter and for the matter to be concluded within eight weeks of this letter being sent to you or I shall be contacting the Financial Ombudsman to investigate my complaint further.

 

Yours faithfully,

[Mikey40]

Had letter back from Lloyds TSB explaining we will try and resolve your complaint within 8 weeks... well that's the first step out of the way!!

[alanalana]

Had letter back from Lloyds TSB explaining we will try and resolve your complaint within 8 weeks... well that's the first step out of the way!!

 

They will take the 8 weeks to the wire believe me and even days over.

 

Best to keep at them on timescales. If you are not happy then escalate the complaint. It is best to make them sit up and take notice of your complaint.

 

The banks have for too long got away with fob off answers and delays.

 

aa

[Mikey40]

Thanks alanalana, you are right, been getting away with it far too long. Will see what happens within the 8 weeks, but will keep on their case don't worry about! The only problem I'm fearing is how to figure out any compensation if it comes to fruition, ha! Cross that bridge if and when hey!!

[alanalana]

Thanks alanalana, you are right, been getting away with it far too long. Will see what happens within the 8 weeks, but will keep on their case don't worry about! The only problem I'm fearing is how to figure out any compensation if it comes to fruition, ha! Cross that bridge if and when hey!!

 

Good luck

 

The FOS do have a formula for working out PPI claims. The loans area is ok but the credit card claims do still have an issue on contractual interest.

 

Keep at them and let them know you are controlling this and not them. They will delay and delay as the longer they hang on to the PPI money the more profits they will accrue.

 

It is time for you to make the timescales in line with the legal requirements. Consumers seem to stick to these timescales the banks do not

 

aa

[Buster78]

Hi Mikey,

I hope you don’t mind me asking this, but did you receive all the information regarding your PPI (LPI) through your SAR? Lloyds keep telling me that I have to submit a separate SAR for PPI information, I feel like banging my head against the wall!

Good luck with your claim.

[Mikey40]

Hey Buster78

Not a problem at all. I got all that I needed after my SAR request, more than was necessary really, a whole ton of stuff not relating to the LPI/PPI! But concerning the loans I have taken out and the LPI I've paid out on for each one, yep I got a all the accounts numbers, summary of what each loan was, the LPI with it and a list of payment for each month, going back to 1992. Also got interest rates etc. I'm struggling to fathom out why after a SAR request you didn't get the same information? Would it worth phoning them and asking why? I hope you get what you need. I'm currently waiting to hear back from Lloyds on my claim, they've got 7 weeks!!

[Buster78]

Cheers Mikey, the amount of information they reveal with an SAR seems to differ quite a bit. It isn’t just the PPI info they are refusing to give me, but it’s with the courts now and I filed for a default judgement last week, so hopefully it shouldn’t be much longer. I just haven’t heard of them using this excuse before and thought I’d check that you’d received yours.

 

The 7 weeks will flyby Mickey, but as Alan has said, they are pretty much guaranteed to delay everything they can, just keep on at them and don’t give in.

 

Thanks again for the reply and good luck,

[citizenB]

Hi Mikey,

I hope you don’t mind me asking this, but did you receive all the information regarding your PPI (LPI) through your SAR? Lloyds keep telling me that I have to submit a separate SAR for PPI information, I feel like banging my head against the wall!

Good luck with your claim.

 

Buster, did you request the information within the initial SAR request, in which case you should have received ALL the information, including PPI data. You could raise a complaint with the ICO in respect of them attempting to charge twice.

 

Do I see you have a non compliance claim in the courts ?

 

Check out this thread

 

http://www.consumeractiongroup.co.uk/forum/lloydstsb-successes/208966-me-them-sar-non.html