payment protection Watch

boomm
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#1
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helloo

does anyone no what payment protection actually is??:confused:
thanks
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Good bloke
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It is a means for banks to extract more money from their customers by supplying unwanted, unnecessary, expensive insurance that won't pay out when you need it due to the inordinate amount of exclusions.
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snu
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http://www.moneysavingexpert.com/ins...loan-insurance
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natweststaffmember
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(Original post by boomm)
helloo

does anyone no what payment protection actually is??:confused:
thanks
Payment protection for a Student is one that is not worth it. Only if you pay off the bill in full will it cost you nothing. It is insurance against loss of income. Income protection, per se, is a good thing to have however, amongst the major banks and providers, it can be very expensive and is still subject to a Competiition Commission report on it. As I said, in principal it is very good, in practice, it can be very expensive if you do not pay the balance in full.
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wizz_kid
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(Original post by Good bloke)
It is a means for banks to extract more money from their customers by supplying unwanted, unnecessary, expensive insurance that won't pay out when you need it due to the inordinate amount of exclusions.

It is actually much more than that.

Say if some person loses his job / cant pay due to illness then he would be covered. This is what PPI does.


I think that it has been withdrawn however i am not 100% sure.
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flipshot
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(Original post by natweststaffmember)
Payment protection for a Student is one that is not worth it. Only if you pay off the bill in full will it cost you nothing. It is insurance against loss of income. Income protection, per se, is a good thing to have however, amongst the major banks and providers, it can be very expensive and is still subject to a Competiition Commission report on it. As I said, in principal it is very good, in practice, it can be very expensive if you do not pay the balance in full.
I wish everyone at Natwest understood this. When I phoned up to "activate" (its seems they only get you to do this for them to sell you stuff) my student credit card. They kept trying to sell me this insurance despite that fact that at the time I wasn't employed so it would have been of no use to me anyway as I had no job to lose. They wouldn't take no for an answer either and I had the woman pratically shouting at me saying "What would I do if I couldn't make the repayments", even when I kept telling her I was only using it for the protection it offers and not for borrowing so I will always the money to pay it off each month.
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Talya
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(Original post by natweststaffmember)
Payment protection for a Student is one that is not worth it. Only if you pay off the bill in full will it cost you nothing.
Card PPI usually only doesn't charge if the balance remains at 0 THROUGHOUT the statement month. And is charged based on the highest balance, regardless of whether you pay in full or not. So it will cost you as soon as you use the card, even if you paid it off when the statement arrived.

Flipshot, you are INELIGIBLE for card PPI as you are not in employment. The woman on the phone was misselling, as you couldn't make a claim even if you tried, which is unacceptable.
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natweststaffmember
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(Original post by Talya)
Card PPI usually only doesn't charge if the balance remains at 0 THROUGHOUT the statement month. And is charged based on the highest balance, regardless of whether you pay in full or not. So it will cost you as soon as you use the card, even if you paid it off when the statement arrived.

Flipshot, you are INELIGIBLE for card PPI as you are not in employment. The woman on the phone was misselling, as you couldn't make a claim even if you tried, which is unacceptable.
What am I thinking about Talya with natwest, 79p per £100 spent? My understanding was that paying the balance in full ie taking it down to zero by the statement meant that they would pay £0 for it. Am I thinking of a different product that we offer?
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ThePants999
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It wouldn't be very sensible for a bank to offer PPI for free to everyone who paid off their card in full every month - as the only time they'd ever end up with a balance at the end of the month is when they lose their job and claim on the PPI!
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Talya
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(Original post by natweststaffmember)
What am I thinking about Talya with natwest, 79p per £100 spent? My understanding was that paying the balance in full ie taking it down to zero by the statement meant that they would pay £0 for it. Am I thinking of a different product that we offer?
The charge is based on the highest balance throughout the statement month, regardless of any subsequent repayment.
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