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Help, years old loan sent to debtC but found ppi
Hi, am trying to help a family member, she took out a loan of approx 5k years ago when she was in full time employment, was paying it back etc without problems, she then became ill with rheumatoid and other health issues and she rapidly lost her mobility, ending up bedridden and in a wheelchair and unable to work. (Debt was with Lloyd’s)
Obviously without her wages she could no longer afford the loan repayments and the debt went to court and moorcroft have been taking a pound a month off her for years ever since, the debt stands at the moment around 7k
Now very recently it has been discovered she had PPI on the loan, which she had no idea about until 6m ago, at present I’m taking that through an online company to reclaim but ideally she is not really interested in the ppi payment, rather that the debt is wiped and no longer liable for it.
At this point we have no idea how much the ppi claim Is worth but she is thinking of paying off the loan if it’s enough.
My question i guess is that where does she stand? Obviously she knew nothing about the ppi until now, but that is exactly what it should of been used for,no? To pay the debt when her health deteriated?
What action can she take, if any?
Obviously without her wages she could no longer afford the loan repayments and the debt went to court and moorcroft have been taking a pound a month off her for years ever since, the debt stands at the moment around 7k
Now very recently it has been discovered she had PPI on the loan, which she had no idea about until 6m ago, at present I’m taking that through an online company to reclaim but ideally she is not really interested in the ppi payment, rather that the debt is wiped and no longer liable for it.
At this point we have no idea how much the ppi claim Is worth but she is thinking of paying off the loan if it’s enough.
My question i guess is that where does she stand? Obviously she knew nothing about the ppi until now, but that is exactly what it should of been used for,no? To pay the debt when her health deteriated?
What action can she take, if any?
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Comments
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You've made a huge mistake using a third party to reclaim your PPI. Any compensation will be offset against your debt, but you're still going to have to pay the third party their fee.
How did you not know you had PPI, did you not notice on your statements each month?0 -
Hi, am trying to help a family member, she took out a loan of approx 5k years ago when she was in full time employment, was paying it back etc without problems, she then became ill with rheumatoid and other health issues and she rapidly lost her mobility, ending up bedridden and in a wheelchair and unable to work. (Debt was with Lloyd’s)
Obviously without her wages she could no longer afford the loan repayments and the debt went to court and moorcroft have been taking a pound a month off her for years ever since, the debt stands at the moment around 7k
Now very recently it has been discovered she had PPI on the loan, which she had no idea about until 6m ago, at present I’m taking that through an online company to reclaim but ideally she is not really interested in the ppi payment, rather that the debt is wiped and no longer liable for it.
At this point we have no idea how much the ppi claim Is worth but she is thinking of paying off the loan if it’s enough.
My question i guess is that where does she stand? Obviously she knew nothing about the ppi until now, but that is exactly what it should of been used for,no? To pay the debt when her health deteriated?
What action can she take, if any?
If she had ppi why did she not claim on the policy ?
Oh and a belated welcome to MSE.0 -
To clarify, it!!!8217;s a family member, I do not really have the time to sort out claiming it for her so found a local online firm that!!!8217;s charges 10% which I thought was ok. Yes I could prob do it for her but wanted a quick and easy way without having to get too involved.
She has multiple health problems and has never been good with paperwork, she mostly had carers or support workers helping her with paperwork so no idea how they missed the ppi stuff.
She didn!!!8217;t claim as at the time (about 20yrs ago) she had no idea she had ppi, this fact has only come to light in the last 6months! My argument is that the bank have been pretty dishonest as she told them her health problems and that she couldn!!!8217;t work so couldn!!!8217;t continue to make the repayments, surely they should of suggested at that point making a ppi claim to cover the loan repayments?0 -
So Lloyd!!!8217;s will automatically take the ppi anyway to offset the debt? Dam, thought we could negotiate a settlement if it was anywhere near enough.0
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Sorry, no idea why there!!!8217;s loads of random characters throughout those posts!0
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You'll be just as involved using a claims company as doing it yourself. Possible more, as you may want to check their work.
Do note, as said above, that you will need to pay them out of your own pocket, as the redress will go against the loan.
Unless you are going to pay for this yourself, I think you should warn your friend. If money is tight, she will need to work out where to find the money.0 -
Oh god. Can I stop the process or is it too late now? She has signed the forms etc and is waiting to hear back the banks response now the ppi firm have written to them to claim it back.
Is there anything she can do though about the fact they are trying to enforce a debt that should of been covered by the ppi in the first place?0 -
To clarify, it!!!8217;s a family member, I do not really have the time to sort out claiming it for her so found a local online firm that!!!8217;s charges 10% which I thought was ok. Yes I could prob do it for her but wanted a quick and easy way without having to get too involved.
She has multiple health problems and has never been good with paperwork, she mostly had carers or support workers helping her with paperwork so no idea how they missed the ppi stuff.
She didn!!!8217;t claim as at the time (about 20yrs ago) she had no idea she had ppi, this fact has only come to light in the last 6months! My argument is that the bank have been pretty dishonest as she told them her health problems and that she couldn!!!8217;t work so couldn!!!8217;t continue to make the repayments, surely they should of suggested at that point making a ppi claim to cover the loan repayments?
Might be in luck with the claim.
Wouldnt take long to fill the form in, maybe 15/20 minutes but your choice.0 -
Check the contract - see if there is a cooling off period, but you are going to need to be quick.
If not, you will have to hope they put in a poor complaint which isn't upheld.
I doubt you will have much success with a retrospective claim on the policy, but it's certainly better than paying someone for a stamp. Send them a complaint and see what they say. They may at least come back with a settlement figure.0 -
I also wrote to moorcroft to ask for a copy of the original CCA which they say will be forthcoming, if they can!!!8217;t produce this, is the debt even enforceable as I thought it wasn!!!8217;t if they couldn!!!8217;t provide a signed copy of the CCA?0
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