Cheque for PPI refund amount not issues in full

tedmundo

Registered User
Messages
7
Hi

I received a letter from my mortgage providers stating that I was paying too high a rate for my level of cover on my Mortgage Payment Protection Insurance (PPI) policy and they have calculated that a refund of 2,380.73 is now due.

But I was issued a cheque for 334.95 and the balance of 2,045.78 was taken to clear the arrears on my mortgage.

While I am very happy to have no arrears on my mortgage I am surprised that a refund on my Insurance Policy was not returned in full and that someone decided on my behalf to pay off my mortgage. I would have expected these to be separate account/policy and I would appreciate if anyone can advise if Mortgage providers are allowed to redirect my refund for their benefit.

Thanks in advance
 

RedOnion

Frequent Poster
Messages
4,286
Was it PTSB or Ulster Bank by any chance?

I'm assuming the mortgage protection was being added to your mortgage payment each month, and only one amount being paid to cover both?
 

tedmundo

Registered User
Messages
7
EBS

yes mortgage protect was being added to the my month direct debit

overcharged as they mixed up the PAYE rate with Self/State Employed rate
 
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