Hello everyone hope someone can help?
I took out a loan with my bank and they added PPI insurance on the loan without giving me the option not to take it. It inflated the loan dramatically. I saw an article on PPI and wrote to my bank to ask them to cancel the PPI as I believed it was mis-sold to me as I was never told it was optional. The bank have been in touch and told me I can cancel the PPI, but I must take another loan out. They will refund part of the PPI but this will be deducted off the original loan. I can then take a new loan out with no PPI, (this time I was told I had the option), but because the interest rate is higher now, I will owe them more than in the first place! Can I not just cancel the PPI as it was mis-sold and keep the loan at the interest rate it was when I took it out? Any advice would be a great help?
PS I am also reclaiming my bank charges. The bank sent my £10 cheque back saying the statements would be free of charge!