HSBC repayment pro and life UK ??

[HVAC MATT]

Morning all

Going over my banking this morning as I do every few months and the HSBC LIFE UK LTD £20.40, REPAYMENT PRO HSBC £65.34 Cost are really bugging me. I’ve spoken to the bank before to be told it covers my mortgage and I recall being sold the cover when I took out my first mortgage some four years ago. I have done a bit of Googling to find the LIFE cover I have covers the mortgage if I have an injury etc and can’t work. This being the case what the hell does the REPAYMENT PRO cover as the cost seem far too high to me and Google doesn’t seem to helping.

[Eric Mc]

Is the bank paying YOU the £65.34 amount?

If not, why is it called a "repayment"?

What are you repaying?

[HVAC MATT]

No, I’m paying them the "REPAYMENT PRO HSBC" and I have never had any finance issues. Iv been lead to believe it is to do with my mortgage as I did think it was the payment for my HSBC plus account but that is a 12.95 DD

[Eric Mc]

So you are making a direct debit payment every month and you don't know what it is for?

But when you ask HSBC they don't seem to know what is either?

[HVAC MATT]

they tell me that it is all health and life cover.

[Sarnie]

The cheaper one will be the Life cover e.g pays out a lump sum if you die.

The Repayment Pro will be an Income Protection policy that covers you if your are too ill to work etc etc.

Dependant on your profile and sums assured, they seem expensive.

[spoofking]

I would think the HSBC Life is going to be a life insurance policy that will pay out on death (and or critical illness), and the repayment pro could either be a income protection type policy (pays an income if you can't work through serious illness or disability), or it could be ASU policy (pays your mortgage interest if you have an accident, sickness or becoem unemplyed).

Surely HSBC can tell you what you're paying for - call them and ask - there is prob a ref number on the bank statement if you don't have a poicy number.

[HVAC MATT]

spoofking said:

or it could be ASU policy (pays your mortgage interest if you have an accident, sickness or become unemplyed).

Now that rings a bell.

[HVAC MATT]

Sarnie said:

Dependant on your profile and sums assured, they seem expensive.

Single male with no kids etc, X smoker , into sports. I working in the ventilation and A/C trade as a manager. The mortagage was for £160K againt a flat I payed £180k

[Kudos]

Seems expensive. Talk to a good IFA who can recommend a better policy/rate (possibly). I can put you in touch with one I've used for a while who's very good if interested, drop me a PM.

[spoofking]

Ring HSBC and get the exact benefits and the terms. Get in contact with an IFA and see if he/she can get a better deal. As an advsier, I bet you a massive amount of money that you're over paying for your policies!!!

[HVAC MATT]

So we agree that the policy are worth while to have. I just need to firm up what im playing for and try to get a better deal.

[Eric Mc]

HVAC MATT said:

they tell me that it is all health and life cover.

Did you want this?
Did you know what it was when you signed up to pay it?
Did they tell you it was compulsory at the time?
Did they say you could make your own arrangements for such policies rather than use their product?

You might have a mis-selling case against them.

[HVAC MATT]

Eric Mc said:

Did they tell you it was compulsory at the time? YES THEY DID TBH.


You might have a mis-selling case against them.

Iv seen the PPI stuff. a short google into the hole situation pull up alot of PPI stuff rather then the information I wanted about my policy.

[Eric Mc]

PPI mis-selling is all about procedures and awareness.

When you were "offered" the product, was it explained to you exactly what it was, what your opptions were, whether it was appropriate for your circumstances and whether you had alternatives?

[Podie]

Eric Mc said:

HVAC MATT said:

they tell me that it is all health and life cover.

Did you want this?
Did you know what it was when you signed up to pay it?
Did they tell you it was compulsory at the time?
Did they say you could make your own arrangements for such policies rather than use their product?

You might have a mis-selling case against them.

I had a HSBC mortgage years ago and it was a compulsory part of it.

When the mortgage was paid off, I still had to manually cancel the other two - as per the small print.

[dalenorth]

Matt,

You have to remember that HSBC are very expensive for this type of policy, your much better of getting independant advice.

[Eric Mc]

Podie said:

I had a HSBC mortgage years ago and it was a compulsory part of it.

When the mortgage was paid off, I still had to manually cancel the other two - as per the small print.

There was a lot of sharp practice going on 20 odd years ago. I'm sure I got suckered into these types of arrangements when I took out my first mortgage in 1989. I never sued for mis-selling dut I did eventually cancel some of the extortionate policies and replaced them with ones I had sourced independently.

Thankfully, I don't have such issues now.

[Podie]

Eric Mc said:

Podie said:

I had a HSBC mortgage years ago and it was a compulsory part of it.

When the mortgage was paid off, I still had to manually cancel the other two - as per the small print.

There was a lot of sharp practice going on 20 odd years ago. I'm sure I got suckered into these types of arrangements when I took out my first mortgage in 1989. I never sued for mis-selling dut I did eventually cancel some of the extortionate policies and replaced them with ones I had sourced independently.

Thankfully, I don't have such issues now.

There certainly were some sharp practices. I remember being a bit miffed about the HSBC policies, as they were compulsory (or at least, sold to me that way).

Been about 6/7 years now, so even if I was mis-sold, I doubt I could claim.

[Kudos]

TBH, most mortgage companies make it mandatory that some system is in place to clear the mortgage if you die. What they may not have been good at telling you was that you didn't have to get it from them