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  • FIRST POST
    Former MSE Rose
    PPI Reclaiming Discussion Part 5
    • #1
    • 28th Feb 12, 4:40 PM
    PPI Reclaiming Discussion Part 5 28th Feb 12 at 4:40 PM



    Hi all, this thread is for discussing the
    PPI Reclaiming
    article.

    This is Part 5 of the discussion, as the last one was so long (read parts one, two, three and four). To discuss or ask a question about this article, click 'post reply'.

    To read about non FOS claims read this thread.
    Report and read success stories in this thread
    .

    Please remember:

    We're often quite laid back about discussion threads as this is a community after all.

    I'm afraid in the case of the PPI Reclaiming thread we're really going to have to ask you to keep the discussion on topic though, so that people can find the relevant information quickly and easily.

    If you do start making like-minded friends on here and would like to carry on chatting about what you did at the weekend/what you ate for dinner etc, that's fine, but the best way to do that is to go to our local pub the MoneySavers Arms where anything and everything is chatted about, start a thread there, then pop a link in here and suggest you all head over to there to chat.

    Thanks,

    MSE Rose
Page 471
    • RomeoAlpha
    • By RomeoAlpha 9th Mar 17, 12:29 AM
    • 2 Posts
    • 0 Thanks
    RomeoAlpha
    I just want to say how angry I am. I am financially literate. PPI was always and obviously a rip off. It was expensive and unlikely to be needed. I always refused it whenever it was offered. I also saved up to buy things instead of taking loans and paying interest.

    So I am absolutely clear that I am not owed any PPI refund.

    Meanwhile people who are financially incompetent, never read the small print, and never tried to understand ppi are now getting their money back. Unless the bank lied and said it was mandatory, in all other cases you took what was offered, and if it was a poor deal that's your fault not the bank.
    • Agricolae
    • By Agricolae 9th Mar 17, 2:14 AM
    • 362 Posts
    • 189 Thanks
    Agricolae
    I just want to say how angry I am. I am financially literate. PPI was always and obviously a rip off. It was expensive and unlikely to be needed. I always refused it whenever it was offered. I also saved up to buy things instead of taking loans and paying interest.

    So I am absolutely clear that I am not owed any PPI refund.

    Meanwhile people who are financially incompetent, never read the small print, and never tried to understand ppi are now getting their money back. Unless the bank lied and said it was mandatory, in all other cases you took what was offered, and if it was a poor deal that's your fault not the bank.
    Originally posted by RomeoAlpha
    PPI wasn't always a rip-off or hugely expensive. Some policies were actually not that bad.

    Also you don't need to be financially illterate or stupid to be mis-sold. I'm financially literate and I was mis-sold PPI. You can read my one thread I posted on here years back to find my "story". But the short version is that I was young (yes, so not as financially literate as now) and I went into the bank to open a current account. They also sold me a credit card and sold PPI with the card as well.

    I wasn't working so I wasn't eligible to have PPI. I even said something along the lines of "but I don't have a job now so how could I become unemployed? The answer I was given was "If you don't spend on the card you won't pay anything, and if you do get a job in the future you'll be protected then". So I accepted.

    You're right, people generally don't read small print, but that doesn't necessarily mean they should be penalised if they missed something on page 97 of the policy booklet.
    Last edited by Agricolae; 09-03-2017 at 9:16 AM.
    • -taff
    • By -taff 9th Mar 17, 6:44 AM
    • 7,125 Posts
    • 4,525 Thanks
    -taff
    Meanwhile people who are financially incompetent, never read the small print, and never tried to understand ppi are now getting their money back. Unless the bank lied and said it was mandatory, in all other cases you took what was offered, and if it was a poor deal that's your fault not the bank.
    Originally posted by RomeoAlpha

    So you are angry people are getting their money back, that they paid?
    And you posted just to tell everyone they are stupider than you?

    Thanks you for your contribution.
    • DavidCH
    • By DavidCH 9th Mar 17, 10:28 AM
    • 3 Posts
    • 0 Thanks
    DavidCH
    Mis-sold PPI
    Sweeneybh...
    I hope you will put in a claim, because it appears that you are out of pocket by up to £3000 (if you're still paying it). The general opinion of these policies is that they were widely mis-sold and of little use to most people.

    Don't use a claims firm !
    • Moneyineptitude
    • By Moneyineptitude 9th Mar 17, 1:13 PM
    • 18,764 Posts
    • 8,932 Thanks
    Moneyineptitude
    Sweeneybh...
    Originally posted by DavidCH
    This thread has 9408 posts some dating back almost five years ago...
    I assume this is the post you were responding to?
    http://forums.moneysavingexpert.com/showthread.php?p=69957606

    That post was made more than a year ago and the poster concerned "Sweeneybhboy" made two posts and never visited the forum again. I doubt he'll read or respond to your belated reply.
    http://forums.moneysavingexpert.com/member.php?u=2467977

    There have been more than 600 posts on this thread since then.
    • pengbo
    • By pengbo 10th Mar 17, 10:35 AM
    • 3 Posts
    • 1 Thanks
    pengbo
    I am not sure if this is PPI or not so don't have any idea if it can be reclaimed.

    In 1990 I took out a mortgage with Barclays Bank when I was self employed. I banked with them and they would give me a mortgage for the house but it was for 90% of the value and they said I had to take out an insurance policy to cover that fact that it was so much of the mortgage.

    Problem is they added the £440 cost to the mortgage and I have been paying interest on it for best part of 26+ years. I was reasonably financially savy back then and if given the option I would have paid the £440 rather than add it to what was an expensive mortgage that would take 30 years to pay back. Interest rates in the 1990's were massive compared to now (I think they touched 15% on black Monday)

    I have known it was there for years but never done anything about it mainly because I didn't wan to rock the boat as it were because I have since re-mortgaged with Barclays (the original was an endowment mortgage so I knew I had to do something) back in I think about 2005 or 2006 to what has turned out to be the best tracker repayment mortgage ever in light of the historically low interest rates we have had over pretty much the whole period now. Even now the interest rate is significantly lower than you can earn on savings which is pretty rare and I don't want to lose that as I doubt I would get as good a deal today.

    So the question remains. Is it something I can recalim as I am not sure if it's actually PPI or not but I do know I was missold it as I was told we had to have it and I was never offered the option to pay it up-front. I am pretty sure they said you can only have this policy from us as well.

    I suppose it is a sort of payment protection of a kind as it was supposed to protect the bank if I defaulted.
    • Moneyineptitude
    • By Moneyineptitude 10th Mar 17, 11:02 AM
    • 18,764 Posts
    • 8,932 Thanks
    Moneyineptitude
    I banked with them and they would give me a mortgage for the house but it was for 90% of the value and they said I had to take out an insurance policy to cover that fact that it was so much of the mortgage.
    Originally posted by pengbo
    This is called Mortgage Indemnity Guarantee and protects the lender not you.

    MIG is not in any sense PPI.

    It was indeed a condition of the large mortgage being granted. It was not mis-sold.

    You have no complaint.
    • amersall
    • By amersall 10th Mar 17, 11:13 AM
    • 16,605 Posts
    • 18,657 Thanks
    amersall
    Barclays don't you just love em?, putting this on over the term of a 30 year mortgage with interest !!! when the op could have paid this amount in a lump sum, not surprised in the least.

    • Moneyineptitude
    • By Moneyineptitude 10th Mar 17, 11:25 AM
    • 18,764 Posts
    • 8,932 Thanks
    Moneyineptitude
    Barclays don't you just love em?, putting this on over the term of a 30 year mortgage with interest !!! when the op could have paid this amount in a lump sum, not surprised in the least.
    Originally posted by amersall
    Pretty standard at the time. The OP wouldn't have been offered the opportunity to pay separately, but he could have chosen not to take the mortgage and instead waited until he had a larger deposit.

    If he were to complain now, it would be difficult to prove that he could have afforded an additional £440 upfront as well as his 10% deposit.
    • dunstonh
    • By dunstonh 10th Mar 17, 12:06 PM
    • 88,112 Posts
    • 53,344 Thanks
    dunstonh
    Barclays don't you just love em?, putting this on over the term of a 30 year mortgage with interest !!! when the op could have paid this amount in a lump sum, not surprised in the least.
    Originally posted by amersall
    People were given the choice to either pay it immediately or add it to the mortgage. The MIG was also put on a separate sub account which could be paid in instalments (quicker than the mortgage term) or on an ad-hoc basis.

    So, the borrower had choice to do whatever they wanted.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from a Financial Adviser local to you.
    • pengbo
    • By pengbo 10th Mar 17, 1:53 PM
    • 3 Posts
    • 1 Thanks
    pengbo
    Thanks all. It was worth an ask. Still rankles as I deffinitely didn't get asked what I wanted to do with the £440 fee.
    • Moneyineptitude
    • By Moneyineptitude 10th Mar 17, 10:33 PM
    • 18,764 Posts
    • 8,932 Thanks
    Moneyineptitude
    I deffinitely didn't get asked what I wanted to do with the £440 fee.
    Originally posted by pengbo
    I would imagine the assumption was that if you were taking a 90% mortgage then money was obviously tight already.

    Regardless, you really can't argue that an insurance meant to protect the lender rather than the borrower was "mis-sold". It really was a condition of the loan.
    • bentleypug
    • By bentleypug 19th Mar 17, 11:08 AM
    • 1 Posts
    • 0 Thanks
    bentleypug
    i have no idea who a lender was
    Hi

    my husband had a car loan over 15 years ago and we have no idea who the lender was but believe we had PPI how can i go about reclaiming? im tempted to use a PPI company as i have no idea of any details... i also had loans from banks years ago too
    • dunstonh
    • By dunstonh 19th Mar 17, 11:29 AM
    • 88,112 Posts
    • 53,344 Thanks
    dunstonh
    Hi

    my husband had a car loan over 15 years ago and we have no idea who the lender was but believe we had PPI how can i go about reclaiming? im tempted to use a PPI company as i have no idea of any details... i also had loans from banks years ago too
    Originally posted by bentleypug
    You complain to the car dealer that sold you the PPI. However, do note that most car dealers were not regulated until January 2005. So, 15 years ago is pre-regulation. They wont have to consider a pre 2005 sale complaint unless they were agents of the lender.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from a Financial Adviser local to you.
    • Nasqueron
    • By Nasqueron 19th Mar 17, 1:04 PM
    • 4,181 Posts
    • 2,319 Thanks
    Nasqueron
    Hi

    my husband had a car loan over 15 years ago and we have no idea who the lender was but believe we had PPI how can i go about reclaiming? im tempted to use a PPI company as i have no idea of any details... i also had loans from banks years ago too
    Originally posted by bentleypug
    Please understand despite their lies, PPI companies have no special powers, if you don't know who you bought from, neither will the PPI company. There is no database of finance. They will simply ask you to tell them and then put in the complaint for you
    • newbs68
    • By newbs68 20th Mar 17, 2:08 PM
    • 15 Posts
    • 16 Thanks
    newbs68
    Big success but will we be worse off?
    My husband and I made a PPI complaint to LLoyds for loans and credit cards we've had between 1986 and 2006. Filled the very simple form in online. They sent us paperwork to fill in but we never got round to it. They then texted us to say they were working on our complaint and made one phonecall to my husband.

    Three weeks later and I've had a payment of £214 but my husband has a letter telling him he is due £8200!!!!!

    Great...except we claim working and child tax credits and I know we have to declare the interest part of the compensation to HMRC.
    I'm having trouble figuring out which this is. Will Lloyds be able to clarify for me which bit I need, do you think? Or should I ring the tax office as I know the Tax Credits Helpline is anything but helpful?
    • Moneyineptitude
    • By Moneyineptitude 20th Mar 17, 2:19 PM
    • 18,764 Posts
    • 8,932 Thanks
    Moneyineptitude
    The Bank will normally deduct the tax prior to paying you the redress. You won't have to subsequently declare it.
    • newbs68
    • By newbs68 20th Mar 17, 2:33 PM
    • 15 Posts
    • 16 Thanks
    newbs68
    The tax, yes and it's plain to see they've done so. But for tax credits the interest on the claim is counted as savings and therefore counts as income.
    • grahamm123
    • By grahamm123 20th Mar 17, 2:45 PM
    • 5 Posts
    • 0 Thanks
    grahamm123
    I have just had an offer from RBS of a total of £67 for miss-sold PPI on a mortgage between 1992 and 2003. This amount also includes the interest at 8% with the original amount being less than £30. I had a mortgage for about 90k. Does this sound right? Another question I wanted to ask is, what did banks, on average charge for PPI on Mortgages? Was it say 1% of your mortgage amount? Any ideas wold be really appreciated please?
    • Moneyineptitude
    • By Moneyineptitude 20th Mar 17, 3:01 PM
    • 18,764 Posts
    • 8,932 Thanks
    Moneyineptitude
    If they've refunded only £30 prior to adding interest, it sounds like you must have cancelled the insurance (after one payment? )

    How do the Banks explain your refund? What is the breakdown?
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