Claiming a refund of Payment Protection Insurance

Discussion in 'Payment Protection Insurance claims' started by Brendan Burgess, Oct 2, 2012.

  1. Brendan Burgess

    Brendan Burgess Founder

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    The banks in the UK have refunded billions for mis-sold payment protection insurance.

    I have seen very little about this in Ireland. Bill Tyson covered it a few times on the Consumer Show on RTE 1. Niall Brady reported in the Sunday Times on 30th September that Irish brokers were planning to encourage their clients to seek refunds.

    I would have thought that many of the claims would be statute barred, or certainly outside the scope of the Ombudsman's 6 year rule.

    If you took out a policy in 2005 and discovered recently that you should not have been sold it, the Ombudsman will be precluded from hearing your case because the behaviour complained of happened more than 6 years ago. You might have only found out recently that you were mis-sold, but that is not relevant.

    RTE reported in May that Bank of Ireland is refunding €1m after an internal review.

    Conor Pope had a good summary of the issues in the Irish Times in July:

    It surprises me that there have been no reports on Askaboutmoney or elsewhere about anyone pursuing a claim successfully?

    There are some claims agencies in Ireland

    Michael Muldoon Solicitors

    uswitch.ie

    In the UK, the consumer groups were very clear that one did not need an agency to make a claim. Presumably it's the same in Ireland and a site such as Askaboutmoney could provide a guide to people to do it themselves?

    Why is the UK so different? Did the FSA get involved? Has the Central Bank of Ireland said anything about it here?
     
  2. Brendan Burgess

    Brendan Burgess Founder

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    The Central Bank wrote to 7 providers of this insurance and required the following actions

    Required Actions
    1. On foot of the review which it has undertaken, the Central Bank now expects the firms inspected to conduct a comprehensive review of their sales processes and procedures in place since the introduction of the 2006 Code on 1 August 2007. Such a review must encompass an examination of sales files for sales of PPI carried out since this date.
    This must include:
     A review of all execution only sales to ensure that these sales meet the criteria set out in Provisions 24, 30 and 31 of chapter 2 of the 2006 Code (Provision 5.24 of the 2012 Code)
     For all other sales, a review to ensure that suitability, in addition to eligibility, was assessed.
     Following the above, a further review of all policies on which claims were declined to determine whether the reason for the decline should have been identified at the time of the sale.

    Arising from its review, each firm must determine what action is required, including contacting consumers and making refunds where necessary. The Central Bank requires that such reviews and the resultant actions, would be overseen by an external independent third party acceptable to the Central Bank.

    Please respond to this letter by 17th August 2012, setting out:

    • 1. The terms of reference for your review, including scope;
    • 2. The timelines for completion of the review;
    • 3. Plan and timelines for communicating with affected consumers;
    • 4. Who will be performing the review; and
    • 5. Who will be overseeing the review.


    2. Firms must ensure that procedures have been implemented to ensure that all future sales of PPI are conducted in accordance with the requirements of the 2012 Code. Specific attention is drawn to the requirements set out in section 3.24 (Payment Protection Insurance) and Chapter 5 (Knowing the Consumer and Suitability).

    3. Firms must also consider whether their sales process explicitly informed the consumer that a change in their circumstances could impact on the on-going suitability of the PPI policy for them and that the firm should be informed of such a change in circumstances. Where this was not the case, firms must contact the policyholders to determine whether their circumstances have changed and, if so, whether the policy is still suitable for them.

    4. The Central Bank expects that all complaints received by firms in respect of the sale of PPI policies will be fully investigated and will be handled in a consistent manner. In particular we expect that firms will carefully assess whether the policy sold was suitable for the policyholder and that the policyholder was eligible to claim on the policy. Where this was not the case we expect that policyholders will be refunded their premiums, unless that policyholder wishes to retain their policy and the seller is satisfied that the product is suitable.
     
  3. Brendan Burgess

    Brendan Burgess Founder

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    According to press reports the Central Bank has made an announcement today on the PPI issue

    http://www.irishtimes.com/newspaper/finance/2012/1008/1224325011822.html

    ...

     
  4. dereko1969

    dereko1969 Frequent Poster

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    Why was the 7th bank allowed to remain anonymous?
     
  5. Brendan Burgess

    Brendan Burgess Founder

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    text of Central Bank statement:

    Central Bank requests firms to review PPI sales and to contact all their PPI customers

    Press Release 8 October 2012

    The Central Bank of Ireland today issued an update on its on-going investigation into the sale of PPI policies. At the request of the Central Bank the firms listed below[1] have commenced reviews of their PPI sales since August 2007. During September the Central Bank extended its investigation to look at PPI sales by other banks and credit institutions. Enforcement actions are also being considered.

    At this point we are naming the firms which, at our request, have begun their reviews and who will be communicating with their customers over the coming weeks to outline the approach they will be taking and the expected timelines for completion of their reviews. We will update consumers as developments arise in relation to other firms. We cannot comment further on other firms at this time.

    The Central Bank has instructed the firms carrying out the reviews to engage independent third parties to oversee their reviews: the Central Bank will be closely monitoring the reviews throughout the process.

    Director of Consumer Protection Bernard Sheridan said: ’The Central Bank is requiring the firms to take an orderly, co-ordinated and consistent approach to their reviews and we will continue to monitor them closely. Consumers of the firms undertaking the reviews do not need to do anything at this point; they will be contacted directly by their PPI seller in relation to the review process and next steps.’

    The Central Bank is aware that a significant number of PPI related complaints and enquiries are being referred to firms by claims management companies on behalf of consumers. It is important for consumers to know that such companies charge fees and that the costs to the consumer can be significant.

    Complaints regarding the sale of PPI since August 2007 will be investigated by the firms listed as part of their reviews. All other PPI complaints must be dealt with in compliance with the 2012 Consumer Protection Code, including those relating to sales prior to August 2007.

    Notes to editors

    Claims Management Companies may charge up-front fees to act for consumers and / or charge fees up to 25% of any refund due to a consumer

    [1] Bank of Ireland, Allied Irish Banks, EBS, GE Money, Ulster Bank and Permanenttsb
     
  6. Gerry Canning

    Gerry Canning Frequent Poster

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    If you bought the ppi before 1st Aug 2007 , you probably do not have a viable claim as boi can say you are statute barred. Do NOT go to the Ombudsman as he can ONLY go back 6 years and will reject your claim. If Boi are still in contact you might be lucky so let it play out in their time frame and {gently} remind them every so often.
     
  7. Gerry Canning

    Gerry Canning Frequent Poster

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    Loan in 2008 comes in under the 2007 Reiew of which Boi is party to.I am told all reviews are to be completed by June 2013 ,but I have written to Central Bank to see how long the 6 named lenders got .If they repay= happy days , if not you can still go via Ombudsman/claims company. In short patience !!
     
  8. Time

    Time Frequent Poster

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    My personal feeling is that the banks are being as slow as possible so they can time out claims for refunds.

    It is best to go proactive and claim either direct off the bank or through a claims company.
     
  9. Gerry Canning

    Gerry Canning Frequent Poster

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    Hi,dereko1969,
    Because our Central Bank and the Law permits it.
    I believe the 7th knows if they can hang {tough} the statute of limitations will {legally} cover them and customers stay caught. The other 6 NOTWITHSTANDING their conversions !!! won,t pay much either but our Central Bank {who I don,t trust} can wring their little hands and say (we tried) .. You couldn,t make this cosiness up.
    Get onto your Td to have the 6 year rule moved..
     
  10. LDFerguson

    LDFerguson Frequent Poster

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    For the avoidance of confusion about this: -

    If you were sold a PPI policy more than 6 years ago, if you believe you were mis-sold you are NOT statute-barred from pursuing a legal claim, if the provider refuses to refund you. The law says “the period of limitation shall not begin to run until the plaintiff has discovered the fraud (or mistake) or could with reasonable diligence have discovered it.”

    However, you ARE barred from going to the Financial Ombudsman as he will only look at cases where the alleged mis-selling occurred more than 6 years ago.
     
  11. Gerry Canning

    Gerry Canning Frequent Poster

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    Dear,LD Ferguson, I agree a consumer can make a complaint BUT {and its a BIG but}, consumers case will be rejected due to the statuteof limitations rule..Sadly the LAW deceives in appearing to give comfort.
    If you were correct in the APPLICATION as distinct from the WORDING ofthe LAW ,it would be happy days for genuine claims.
    The National Consumer Agency has now moved a little bit towards using Solicitors and {some} claims companies on the premise 75% is better than none. I read this to mean thAt NO PROVIDER will easily pay-out
     
  12. Brendan Burgess

    Brendan Burgess Founder

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    Hi Folks

    Has anyone kept a copy of this thread or can you find it in Google cache?

    I moved all Andy Dub's posts into a separate thread, with the intention of making it a Key Post, but someohow managed to delete it.

    Brendan
     
  13. AndyDub

    AndyDub Frequent Poster

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    No worries, I will make a summary of my case and post it as soon as I get a chance.
     
  14. ladylu

    ladylu Frequent Poster

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    Anyone actually got a refund yet.
     
  15. LDFerguson

    LDFerguson Frequent Poster

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    Yes AndyDub got one recently.
     
  16. Gerry Canning

    Gerry Canning Frequent Poster

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    very few claims are being upheld ,even where the mis-sell is obvious to us joe soaps.i know of 3 that were paid but after much grief. If the Banks pay out it will be to PRETEND they are sorting issues. suggest don,t give up.contact your td,s , unless they know this is a 2 Billion ,,yes a 2 Billion issue for their constituents , the Central Bank , the Ombudsman , the Banks will only pay lip service.
     
  17. Gerry Canning

    Gerry Canning Frequent Poster

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    PPI issues, AIB,s response

    On a May 2009 Mortgage.Customer DID NOT sign for PPI.Yet PPI was added !!! When queried by customers solicitor last Aug , it took to now to have AIB refund the premia. However AIB would NOT deal with customers solicitor as AIB said the case was not a mis-sell but an anomaly!!!!.Sent customer the premiums paid. I trust Aib,s word as much as I trust Lance Armstrongs word !!

    I am told this AIB {anomaly} is heading to the courts as the solicitor feels AIB is circumventing the Rules .

    From our consumer view, I only see it as MORE STALLING by banks.

    Am I missing something here ??
     
  18. Bronte

    Bronte Frequent Poster

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    Just on this, I was mis sold an insurance policy a lot more than 6 years ago. It came to light in the last 6 years and I took a financial ombudsman's case which I partly won, but the ombudsman could not go back to the beginning of the policy and so could not judge that it was missold.

    The provider, this year confirmed to the FO and me that I was misold the policy. Does this mean I can go to court and take a mis selling case to get a refund of premiums. Actually I might ask the FO that myself.
     
  19. Gerry Canning

    Gerry Canning Frequent Poster

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    to Ld Ferguson, You CAN go to court but under current case law you will 99% find the court will NOT find for you.
    Bronte, If you win , I suggest it was not for a mis-sell. IF PROVIDER has in writing accepted a mis-sell that was initiated more than 6 years ago , get that documentation, and then write and demand appropriate recompense. If that fails get an ROI claims company {make sure they are competent} to claim on a no-win no-fee basis
     
  20. Bronte

    Bronte Frequent Poster

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    Yes I have it in writing (email) that I was misold but FO is in copy etc.

    What kind of company does this kind of claim on a no win no fee? You mean a solicitor? I'm not sure I have the energy for this after all it took going through the FO.