[DASERVICES]

  Wow, got a shock today. Went to the bank to find about a loan for WFP / VAN.
  A.P.R quoted was fine then he told me how much for payment protection.

  For a £5k loan it would have cost us £2.7k for p/p, I was gobsmacked and
  told the guy I had never that much before and what was the reason.

  'It's your line of work, sir. The high end of p/p'

   Needless to say I turned it down so back to saving !!!

  WHAT A RIP OFF, JUST BECAUSE I AM A WINDOW CLEANER 

[thewindowcleaner1]

Most of the time payment protection not worth it by the time it kicks because your self employed you'll be back at work.

Try lease/buying the equipment if your intrested I'll dig out a company name

Alan

[williamx]

Go back to the bank as payment protection insurance is not a requirement for a loan, its just the banks making loads of dosh by devious means

[Davindo Cleana]

Same as William - tell them you want the loan without payment protection - you can be sure that even if you had it and things went pear shaped, they probably still would not cover you

[P @ F]

HERE , HERE , ITS ALL A BIG SCAM , I USED TO TAKE INSURANCE OUT ON EVERY LOAN I EVER TOOK OUT , NEVER NEEDED THE COVER TILL ONE DAY , I GOT LAID OFF AND BECAUSE ID RECENTLY HAD A CHANGE IN THE WORK CONTRACT THE LOAN COMPANY REFUSED TO PAY , SO I REFUSED TO PAY ALSO , AND TO THIS DAY I STILL OWE THEM £1200 , THEY STILL TRY IT ON AND RING ME OUT OF THE BLUE , BUT IM ALWAYS BACKPACKIN IN AUSTRALIA !

AND IT HASNT AFFECTED MY CREDIT RATING EITHER !

SO IF THERES ANYBODY FROM THE ASSOCIATES READING,"GOODAY BRUCE"

  RICH  p@f   

[Paul Coleman]

  Wow, got a shock today. Went to the bank to find about a loan for WFP / VAN.
  A.P.R quoted was fine then he told me how much for payment protection.

  For a £5k loan it would have cost us £2.7k for p/p, I was gobsmacked and
  told the guy I had never that much before and what was the reason.

  'It's your line of work, sir. The high end of p/p'

   Needless to say I turned it down so back to saving !!!

  WHAT A RIP OFF, JUST BECAUSE I AM A WINDOW CLEANER 

Payment protection is one of the biggest scams going from the banks (and many credit card companies).  I read an article a while back (on www.motleyfool.co.uk ) which showed that the banks charge around ten times more than they need on this product in order to be in profit on it.
You can have a loan without the insurance.  Sales people will often try to make you think that you have to have the insurance in order to get the loan.  Ask the salesperson outright if taking the insurance is a condition of getting the loan.  If he/she says yes (which they won't) ask for it in writing.  I believe it is illegal to only offer the loan if another product is brought with it (illegal in the financial services world rather than illegal as in criminal act).  If it looks like you may be refused the loan if you don't take the insurance, accept the deal then cancel the insurance the very next day in writing.  I believe that you have either 7 or 14 days to cancel the insurance (depending on who made contact with whom initially).  Don't take my word for this as things may have changed since I last looked into this stuff.

[Rick]

i can only say the same as whats been said above, i have only had 1 loan in my life and that was only 300 quid and the last, but my mother fell into this trap only a month ago shes a nurse and came down ill, contacted the loan company and asked for the protection to kicked into action........

all she got was a monster phone bill after listening to the red tape and small print which basicly meant "sorry mate tough luck"....

i wouldnt even entertain the idea of payment protection, and if you possibly can save it from ya normal wages and scrap the loan, i know this is tough somtimes but but nothing worse than paying somthing back when you spent it 2 years ago.. go get a couple of extra pubs or houses what ever and just say that money goes strait into ya van/WFP jar, its better to see it grow than fly out the door....

[Ian Rochester]

From a tax advantage / business point of view you are better off taking out a loan to pay for any capital rather than financing it yourself

Try Northern Rock, they are offering loans at 5.6% APR, plus there is no early redemption penalty so if you want to pay it off early you can.

Even with their Bronze payment protection they are still cheaper than anywhere else.

[Ian_Giles]

I agree with all of the above, loan repayment insurance is often comission generated, and I really detest and loath it when they try to get you to take it out, I always refuse it.

Banks screw us little guys every which way they can, paticularly if you have a business account, they charge you for everything, a monthly service charge for your account? yep.
Charge for paying in money? Yep.
charges per cheque? yep
Per withdrawal? Yep.
Charges for standing orders? Yep
Direct debits? yep

Same bank, same branch, my domestic account has free overdraft facility and no charges for anything whatsoever.

So a few years ago I cancelled my business account and just stayed with my current one!

They no longer offer this particular type of account, They have offered me their gold account, their platinum account, but of them are not a patch on the deal I have (overall that is) at the moment.

They make billions of pounds in profit year on year, and still insist on closing local branches, routing you through call centres, blocking your attempts to talk to your branch direct

I hate banks

Bot that you would ever know of course


Mind how you go,


Ian