Unknown money taken from bank

Hello

I have checked my bank account and an amount of 301.21 has been taken without my knowledge. I have queried it with the bank and they have said it is for life insurance from a company called ASEVAL.SA

Does anyone know if this is something that is legally required or whether I can get this credited back because I don't need it and I didn't authorise it either.

Thanks

Phil & Debbie

Hi Phil & Debbie

I know there has been several posts regarding life insurance on the forum, we completed on our property last year with a mortgage through cam bank and we were never asked to take out any insurance at all so i presume it is not a requirement unless we slipped through the net ! If i was you i would certainly try and get money back and find out how on earth they got your details to enable them to do this !

Marianne

Could it be connected to your mortgage (if you have one)  It was suggested to us that we'd need building/contents insurance and life insurance in order to get the mortgage we wanted. But in the event  when we queried that statement they backed off on the life insurance. We went with the other insurances on this occasion but will look at the figures again when it comes up for renewal.

You could speak to whoever you dealt with for your mortgage and ask their advice as its possible you've unknowingly agreed to something.

Hi there,

Life insurance is normally signed in Spain altogether with your mortgage, and sometimes you do not  know, as you are getting so many payments at the same time. The bank could have said to you is mandatory, but it is NOT and can be cancelled any time but I presume as everything in Spain, two months in advance by writing notice.

In some occasions banks are not willing to let go a life insurance cover, so it is a litlle bit difficutl to do it,  but you just need to say that according to BANCO DE ESPANA (entity that control banks in Spain) you know this information and if neccesary you will report to them.

The only mandatory insurance, when you hold a mortgage in Spain, is actually the Home insurance. You need to have it.

Regards

Maria

Hi

I had 700 euros taken from my Bancaja account for life insurance for myself and my wife. Never agreed to it when we took the mortgage. We had option of taking it when we negotiated mortgage terms in which case we would have received a reduction in interest rate but I declined and just took compailsory home insurance.

Now we are told life insurance was compulsory and there is nothing we can do about it as we did not cancel it in time. We didn't even know about it until the money disappeared from our bank so how could we give two months notice to cancel?

Solicitor can't seem to do anything either.

Any ideas anyone?

Trevor

Hello

After contacting my bank I got the below reply. Has anyone heard of this or does it make any sense to anyone ? I have replied stating that the original reply I had was saying it was life assurance so I have asked them again to clarify.

Phil

The money taken out from aseval is for the financing insurance set up on your property. The financing insurance thru Bancaja during at least the period of carency of the loan is one of the conditions from Bancaja to get the loan at the time that you applied for it.

Hi there,

I think the most important thing is to know if there is any clause in the deeds that mention you need to have life insurance. If not, the bank does not have the right to force you to have one to secure the payment in case something happens. I know for sure it is not necessary. In fact in my main house here in Talavera me and my husband never got life insurance, and the mortgage is much highter than the one in Condado.

I suggest to check this point. If there is any mention to it in the deeds there is nothing you can do, as it was signed and agreed from you on that day in front of the notario (even without you knowing this).

If you are lucky and there is no statement in the deeds, you have to complaint to the bank as many times as you need, ask for the hoja de reclamaciones a "complaining sheet", and if not threaten them to contact first The Defensor del Cliente and then the one in the Banco de Espana.

Regards

Maria

Thanks Maria, very helpful.

Trevor

Hi Phil & Debbie,

The compulsory Life Assurance has been a major issue in the past year and there are now very few lenders that do not insist you take their product, most banks will force you to take their product if you want their mortgage!.  This is actually not legal practice but the banks do it any way; I would doubt very much that you would see this condition in your deeds. I work with Bancaja on a regular basis and Aseval is definately a policy for Life Assurance and what they are telling you in the sentence you quote is that the Life Assurance condition is required at least during the Interest Only period (carency).  This reason I have not heard before(!) they normally say that either one or both applicants can cancel after the first year and I would give at least 3 months notice if doing this.

For the Life Assurance to be in force and monies taken from your account you would have definately signed a form somewhere along the way, whether it be at the notary when there are so many papers to sign and it may have gone unnoticed or maybe if a lawyer signed for you by power of attorney.        Bancaja always supply a form (from Aseval) for clients to sign and will not complete on the mortgage without the signed form returned by post as original signature is required.

Hope above helps,