rosie&jim v littlewoods

[rosie&jim]

Littlewoods responded by the cout's deadline with a partial payment as full & final offer, which I am not accepting and sending back the judgement form to the courts. Out of £1800, they offered £77 plus court fees. The rest is for interest charges and payment protection insurance, which I was told that i had to have, but did not agree to. So I shall keep you posted.

[rosie&jim]

Does anyone know what payment protection insurance, actually means - what does it cover you for?

[Trojan1401]

Basically it provides a source of income in the event of accident, critical illness, redundancy etc where you would be unable to keep up repayments on loans, credit agreements etc. There are many types ranging from accident only right up to death/critical illness.

However there are many pitfalls with this type of insurance and before accepting this type of policy the "small print" should be read very carefully. If there is a way insurers will avoid paying then they will.

Main areas will include their definition of "accident", certain illnesses & medical conditions will be excluded. There will nearly always be a deferred period i.e 6 months. Also should, in the event of sickness/illness etc should you continue to be paid from work for a period of time then it may not kick in either.

Never sign up for PPI until you have read the T&Cs in full. If in doubt, always seek professional independent advice.

[buzby]

I wouldn't say it is a 'source of income', as it is usually so tightly drawn up that only one debt will be paid for, and even then constraints will mean if only one person is ill (and it's a joint mortgage) even if the breadwinner pays the mortgage in full, the insurer will only pay 50%. It rarely is 'global' in the sense all your debts will be paid until you are better - it is usually just one policy per debt.