car insurance rip off

Discussion in 'CycleChat Cafe' started by buggi, 18 Apr 2010.

  1. buggi

    buggi Bird Saviour

    Location:
    Solihull
    My car insurance this year is £310. (probably not even what my car is worth!)

    but anyway... i arranged to pay by direct debit. Then i get something through the post, which i promptly ignore/forget because i was busy that week, so they've sent me a reminder. on reading the "sign here to pay your direct debit" i realise that it's a credit agreement... that bumps my insurance up to £450!!!!

    they've got to be fookin joking right? no mention of this on the phone, although i do remember them saying my first month would be £37 quid. Surely, this is against the law. you can't agree 310 on the phone and then send an agreement for 450????

    if only i could do without a car but unfortunately with a 50 mile round commute cycling is impossible all the time.
     
  2. Corvette chic

    Corvette chic Guest

    Location:
    Accrington
    You need to try other insurers - put it on your credit card and transfer that onto a 0% balance transfer and pay that off by direct debit

    It's not the direct debit but the credit agreement as you're paying in instalments that's how they get you to another 140 quid

    Thieves the bloody lot of 'em
     
  3. OP
    OP
    buggi

    buggi Bird Saviour

    Location:
    Solihull
    yea, but i've never had to sign a credit agreement before so i didn't expect it. i've always paid directly to the insurers. no mention of a credit agreement on the phone or the fact that it would bump my total payment up by £140!!!

    I'm straight on the phone tomorrow. no way are they getting away with this, and if they don't sort it, i'm going to the ombudsman
     
  4. The devil is in the detail. If you pay by DD over 12 months there is usually an extra charge.

    Not an expert but you may be able to withdraw from the arrangement with in a certain time frame.
     
  5. Falwheeler

    Falwheeler Well-Known Member

    Location:
    Falmouth Cornwall
    I had my renewal this week, £180 which i thought was ok then notice extras, fees for this fees for that including charge for credit bringing total payable to £380. Because I pay by direct debit no action was required. It would have been all to easy to do nothing and not notice the charges. Needless to say I've gone with someone else, a local company, for £160 total payable
     
  6. OP
    OP
    buggi

    buggi Bird Saviour

    Location:
    Solihull
    i know that, but normally it's a fee on top of your bill and only works out at about £30 at most. for this i'm signing an ACTUAL credit agreement with another company, which i've never had to do before. totally miss-sold IMO.
     
  7. GrasB

    GrasB Veteran

    Location:
    Nr Cambridge
    I always buy insurance in a single lump, mentioning you'll be paying a single up front payment often gets you a little more discount when you're trying to do your quote matching.
     
  8. vernon

    vernon Harder than Ronnie Pickering

    Location:
    Meanwood, Leeds
    I've just renewed my motorcycle insurance. It was a penny cheaper than last year. Same broker, same insurance company, no quibbles.
     
  9. ASC1951

    ASC1951 Guru

    Location:
    Yorkshire
    Some people might say that before you go effing and blinding about the iniquities of insurance companies, you should be able to find 5 minutes in a week to read the stuff they do send you. :smile:
     
  10. HJ

    HJ Cycling in Scotland

    Location:
    Auld Reekie
    Actually car insurance is sold as lost leader, it is subsidised by the profits on other forms of insurance. However, that might be about to change if the insurance industry starts to make a loss on travel insurance clams... :ohmy:
     
  11. OP
    OP
    buggi

    buggi Bird Saviour

    Location:
    Solihull
    LOL... not when you're moving house, and my inabilities doesn't make their's any better :sad:

    phoned up. payments are over 10 months, not 12 as stated in the agreement. they are sending a new one out.
     
  12. Black Sheep

    Black Sheep Veteran

    Location:
    Rammy
    Some insurance companies lend you the money themselves (a policy has to be paid in full) others use a credit / loan company instead.
     
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