chrisgunton Posted January 21, 2011 Share Posted January 21, 2011 Hi all, 5ish years ago I went to Lloyds TSB (my bank) for a loan to buy my last car - the loan came with protection/insurance, in case I was made redundant or became too ill to work. I paid off this loan just before xmas and took out another to help pay for my first Zed but it now appears that Lloyds don't to the protection/insurance any more. obviously this isn't good news or me! I'm looking at getting cover from British Insurance - has anyone got any experience with them, or used anyone else they would recommend? I've never used a 3rd party for this sort of thing and want to make sure I use a reputable company (British Insurance appear to be rather good, and have awards and good reviews). Many thanks. Quote Link to comment Share on other sites More sharing options...
ewan221 Posted January 21, 2011 Share Posted January 21, 2011 I think you can do a search on the likes of money supermarket for the best deals Quote Link to comment Share on other sites More sharing options...
M9O OEY Posted January 21, 2011 Share Posted January 21, 2011 I'm pretty sure there are companies now that get back all money that uve paid for loan protection could be worth a look Quote Link to comment Share on other sites More sharing options...
Ekona Posted January 21, 2011 Share Posted January 21, 2011 Only if you were mis-sold, clearly the OP wasn't here. Quote Link to comment Share on other sites More sharing options...
James B Posted January 21, 2011 Share Posted January 21, 2011 I'm not really a believer in loan insurance. If you're so uncertain about your income / situation, should you really be insuring money you borrowed (or borrowing the money in the first place) to buy a sports car? Push comes to shove I'd save the cost of the insurance, put it in a jar and if the shite hits the fan then sell your car to pay the loan off. It's the constant leveraging, insuring and releveraging that's got so many people I know (myself included) into really bad situations in the past. Quote Link to comment Share on other sites More sharing options...
chrisgunton Posted January 21, 2011 Author Share Posted January 21, 2011 Insurance is £7 a month.... My job is safe as far as I know, the protection is just for peace of mind. Quote Link to comment Share on other sites More sharing options...
Rx7Rebel Posted January 21, 2011 Share Posted January 21, 2011 im sure lloyds do it, but i think you have to request it, means you cant try to reclaim it at a later date saying it was "mis-sold" Quote Link to comment Share on other sites More sharing options...
chrisgunton Posted January 21, 2011 Author Share Posted January 21, 2011 They dont Just spent an hour with a Financial Advisor waffling on at me before he spilled the beans that they don't cover you in the event of redundancy! I'm going to give the British Insurance website a good read and see if there is anything shady... Quote Link to comment Share on other sites More sharing options...
Ricey Posted January 21, 2011 Share Posted January 21, 2011 Mate jib the insurance to the high buggery. I see god knows how many cretins every day who don't pay anything to unsecured credit.........they threaten the earth but in reality half the time they can't be bothered doing anything to you (bailiffes, legal action, bankruptcies). In fact lets have a look at the timeline of an unsecured debt with a large company - - You run up a £5000 balance on a credit card with MBNA. - MBNA chase you for 6-12 months for payment which you don't make. Balance has increased to £6k with interest and charges. - MBNA will sell the debt to perform a 'loss mitigation' exercise to CL Finance (for example) for 50p in the pound (£3000). - CL Finance now only need to collect anything over 3k to make a profit. - You get a whole host of nasty letters asking for payment. You do nothing. - CL Finance offer you a 1 off settlement figure for a limited period only of £3500 which will fully settle your debt. So MBNA avoid making a total loss and recoup 3k........CL finance make a £500 profit by settling the debt and you get out of £2500 of debt by NOT paying the frigging loan! You'll probably think I'm talking bull and granted it doesn't always work that smoothly (you especially have to be careful when its a large balance and you own a property - they can stick charging orders on, or if the loan secured against something) but generally that is how the vast majority of unsecured debt is managed in the modern world. Its totally unfair on the 'good payers' but bottom line is - debt collectors cost money and may not recover anything so why would a company exacerbate their loss when they can just sell it on to a distressed debt company and 'mitigate a larger loss'. Provided you can handle a trashed credit profile (which lets face it if you lose you job - your getting a trashed credit profile unless you get re-employed sharpish or have money behind you) I would think very carefully about paying out money for products that don't actually offer a lot of protection (eg no redundancy cover). Now before I infuriate Sarnie to the point of exploding - MPPI policies are a different kettle of sparrows..........mortgages are far more worth having protection on PROVIDED you get someone like Sarnie to make sure its an appropriate policy (i.e one you can actually claim on!) Quote Link to comment Share on other sites More sharing options...
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