PPI commission and Profit share

I received a letter from the Halifax this morning offering me £404 as a good will gesture as they didn't create an Unfair Relationship as the commission and profit share was less than 50% at the time the PPI was sold on the credit card.
As outlined in the letter the commission and profit share for 11 years ranged from 74% and 82%.
Is it likely I could complain to the ombudsman about the mis selling off PPI in this case under the Plevin ruling or is it entirely based on the commission rate at the time the policy was sold?
My mis selling complaint was rejected in 2012 initially.

Comments

  • dunstonh
    dunstonh Posts: 116,358 Forumite
    Name Dropper First Anniversary First Post Combo Breaker
    Is it likely I could complain to the ombudsman about the mis selling off PPI in this case under the Plevin ruling or is it entirely based on the commission rate at the time the policy was sold?

    To get this letter, you must have already complained and been rejected about a missale. You dont get a second bite of the cherry.

    This plevin related refund is a different thing and only applies to rejected complaints.

    No point going to the FOS as you are barred from a new complaint on the already rejected complaint and the plevin refund is defined and not something you can haggle.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • I have just received a similar letter offering a goodwill payment after concluded an unfair relationship was not created at the time of sale as the level of commision and profit share was 50% or less.

    Bizarrely they have included a table show the rates of Commision and profit share that show the commision and profit share rate was 79% at the time of sale.

    I’m confused by this and wonder if anyone has encountered this before? The letter clearly states I have the right to refer the unfair relationship complaint to the financial ombudsman service - what if anything can they do in this situation?

    Thanks.
  • [Deleted User]
    [Deleted User] Posts: 26,612 Forumite
    First Anniversary Name Dropper Photogenic First Post
    Yapper147 wrote: »
    I The letter clearly states I have the right to refer the unfair relationship complaint to the financial ombudsman service - what if anything can they do in this situation?
    They can realistically do nothing. However you still have the right to refer your complaint!
  • rq9292
    rq9292 Posts: 46 Forumite
    First Anniversary First Post
    Yapper147 wrote: »
    I have just received a similar letter offering a goodwill payment after concluded an unfair relationship was not created at the time of sale as the level of commision and profit share was 50% or less.

    Bizarrely they have included a table show the rates of Commision and profit share that show the commision and profit share rate was 79% at the time of sale.

    I’m confused by this and wonder if anyone has encountered this before? The letter clearly states I have the right to refer the unfair relationship complaint to the financial ombudsman service - what if anything can they do in this situation?

    Thanks.

    I think the table you are referring to is only showing the basis on which the calculation was done. At the time of the sale the expected profit share was 25% and this is why the believe there was no unfair relationship created. Despite this they have completed a calculation as if the profit share was 79% and this is why they have called it a "goodwill payment".
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 343.2K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 247.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards