Tweet
Hi All
I wonder if I can get some advice, opinions and/or suggestions here please.
Back in 2000, I purchased a property as a first time home buyer. I used an IFA to sort out the mortgage, it was an interest only mortgage. I remember I took out a PPI policy with the IFA, but I must say I don’t recall any conversations related to the policy’s restrictions and exclusions.
Then, in 2004 I sold the property and bought another property with a friend. I contacted the insurance company to ask to increase the cover to £700.00. The insurance company gave me a quotation for the new cover but demanded to see an evidence for the new mortgage repayment. As it was a 40:60 joint mortgage with a friend, I could not provide any evidence to show my portion of the monthly repayment, as a result I had no choice but cancelled the policy. I did feel something was not right with the PPI cover at that time but I thought the policy was done and gone, there was nothing I could do so I left it then.
About a month ago, I was getting rid of some paperwork that I have been hoarding for nearly 25 years. Then I saw this PPI certificate for my first home. I looked at it in details, then I started to think I might have been sold to an unsuitable PPI policy.
My findings are:
1. The PPI cover had a monthly cover of £400.00, but my mortgage repayments were just over £200.00 a month. 18 out of 44 months the repayment went below £200.00 a month. I then found some small print related to the cover saying something like the amount of cover could be up to 10% above the actual repayment figure. But I was paying a PPI cover almost a double more than what I required.
2. You may argue the £400.00 monthly cover could also include other bills as well, but after I moved home, I asked the insurance company to increase the cover for me, they would not do so until they had seen the new mortgage’s paper work. I could not just increase my cover to a random figure even I was happy to pay whatever premium the company quoted me. If that is the case, why was I paying a £400.00 PPI cover for a £200.00 monthly repayment?
I contacted the insurance company to make a complaint 2 months ago, they referred me to contact whoever sold me the policy instead. I wrote to the IFA company and they said I have passed the 6 years window period to make a complaint, furthermore they disagreed that I was sold to an unsuitable PPI policy.
As I said in the beginning, I was a first time home buyer, I relied on the IFA to provide me the right product to my mortgage. The IFA arranged both mortgage and PPI cover for me, surely he must know the figure of my monthly repayment at that time. So what has gone wrong?
My question is, am I right to think I was mis-sold here?
Many thanks in advance!
I wonder if I can get some advice, opinions and/or suggestions here please.
Back in 2000, I purchased a property as a first time home buyer. I used an IFA to sort out the mortgage, it was an interest only mortgage. I remember I took out a PPI policy with the IFA, but I must say I don’t recall any conversations related to the policy’s restrictions and exclusions.
Then, in 2004 I sold the property and bought another property with a friend. I contacted the insurance company to ask to increase the cover to £700.00. The insurance company gave me a quotation for the new cover but demanded to see an evidence for the new mortgage repayment. As it was a 40:60 joint mortgage with a friend, I could not provide any evidence to show my portion of the monthly repayment, as a result I had no choice but cancelled the policy. I did feel something was not right with the PPI cover at that time but I thought the policy was done and gone, there was nothing I could do so I left it then.
About a month ago, I was getting rid of some paperwork that I have been hoarding for nearly 25 years. Then I saw this PPI certificate for my first home. I looked at it in details, then I started to think I might have been sold to an unsuitable PPI policy.
My findings are:
1. The PPI cover had a monthly cover of £400.00, but my mortgage repayments were just over £200.00 a month. 18 out of 44 months the repayment went below £200.00 a month. I then found some small print related to the cover saying something like the amount of cover could be up to 10% above the actual repayment figure. But I was paying a PPI cover almost a double more than what I required.
2. You may argue the £400.00 monthly cover could also include other bills as well, but after I moved home, I asked the insurance company to increase the cover for me, they would not do so until they had seen the new mortgage’s paper work. I could not just increase my cover to a random figure even I was happy to pay whatever premium the company quoted me. If that is the case, why was I paying a £400.00 PPI cover for a £200.00 monthly repayment?
I contacted the insurance company to make a complaint 2 months ago, they referred me to contact whoever sold me the policy instead. I wrote to the IFA company and they said I have passed the 6 years window period to make a complaint, furthermore they disagreed that I was sold to an unsuitable PPI policy.
As I said in the beginning, I was a first time home buyer, I relied on the IFA to provide me the right product to my mortgage. The IFA arranged both mortgage and PPI cover for me, surely he must know the figure of my monthly repayment at that time. So what has gone wrong?
My question is, am I right to think I was mis-sold here?
Many thanks in advance!
