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    • 76gps
    • By 76gps 11th May 17, 3:14 PM
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    76gps
    Lloyds PPI on defaulted loan
    • #1
    • 11th May 17, 3:14 PM
    Lloyds PPI on defaulted loan 11th May 17 at 3:14 PM
    Lloyds have recently confirmed that I had 6 loans with PPI included in them dating back to 95 to 2003 - My complaint has been upheld and I await the final decision letter. I am however concerned as in 2005 and 2007 I took out further Lloyds Loans (without PPI) which have since defaulted and sold to a 3rd party - Will redress be paid for the old closed/fully paid Loans be paid to me as cash or paid to the 3rd party for the 2 loans in default?
Page 1
    • Moneyineptitude
    • By Moneyineptitude 11th May 17, 3:16 PM
    • 18,532 Posts
    • 8,752 Thanks
    Moneyineptitude
    • #2
    • 11th May 17, 3:16 PM
    • #2
    • 11th May 17, 3:16 PM
    Only the Bank can tell you this. Certainly, they are able to offset defaulted debt against any redress but only if the debt recovery firm hasn't actually bought the debt.
    • 76gps
    • By 76gps 11th May 17, 3:51 PM
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    76gps
    • #3
    • 11th May 17, 3:51 PM
    • #3
    • 11th May 17, 3:51 PM
    I now get letters from Robinson Way in respect of the most recent outstanding loans from 2005 & 2007 - Does that mean they have bought the debt?
    • zx81
    • By zx81 11th May 17, 3:56 PM
    • 11,615 Posts
    • 11,637 Thanks
    zx81
    • #4
    • 11th May 17, 3:56 PM
    • #4
    • 11th May 17, 3:56 PM
    Not necessarily. It means they are handling the debt.
    • dunstonh
    • By dunstonh 11th May 17, 4:22 PM
    • 87,732 Posts
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    dunstonh
    • #5
    • 11th May 17, 4:22 PM
    • #5
    • 11th May 17, 4:22 PM
    I now get letters from Robinson Way in respect of the most recent outstanding loans from 2005 & 2007 - Does that mean they have bought the debt?
    Originally posted by 76gps
    Most banks use third-party collection companies for debt recovery. It doesn't mean they sold the debt. Also, many banks have a claw-back option which allows them to claw back ownership of the debt from the recovery company in case they come into money belonging to you in the future. So, even if they have sold the debt, if it has a clawback clause then they can still offset the redress against that.
    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.
    • 76gps
    • By 76gps 11th May 17, 4:55 PM
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    76gps
    • #6
    • 11th May 17, 4:55 PM
    • #6
    • 11th May 17, 4:55 PM
    I just want to be clear (I maybe confusing the viewers) - I am making claims against old Lloyds PPI loans that were paid in full. I have since taken out further Lloyds loans that have the outstanding defaulted balance that has no PPI claim. Does that change anyones view?
    • dunstonh
    • By dunstonh 11th May 17, 4:57 PM
    • 87,732 Posts
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    dunstonh
    • #7
    • 11th May 17, 4:57 PM
    • #7
    • 11th May 17, 4:57 PM
    I just want to be clear (I maybe confusing the viewers) - I am making claims against old Lloyds PPI loans that were paid in full. I have since taken out further Lloyds loans that have the outstanding defaulted balance that has no PPI claim. Does that change anyones view?
    Originally posted by 76gps
    In that case, they cannot use the redress unless it was a chain of loans.
    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.
    • 76gps
    • By 76gps 11th May 17, 5:06 PM
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    76gps
    • #8
    • 11th May 17, 5:06 PM
    • #8
    • 11th May 17, 5:06 PM
    thank you for the updates - I will await the final verdict. I am trying to recall if these were rolled up, but I think there was a gap, so fingers crossed of a good result - God, I need one!
    • 76gps
    • By 76gps 18th May 17, 9:06 AM
    • 5 Posts
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    76gps
    • #9
    • 18th May 17, 9:06 AM
    Payout Success
    • #9
    • 18th May 17, 9:06 AM
    Checked my account last night and saw a deposit of 9997. Immediatley phoned Lloyds who confirmed that this is their payout across numerous loans and letter was in the post to confirm.

    Thank you MSE for giving me the kick to make the complaint. I also have an old MBNA credit card that I have made a complaint on (they have confirmed PPI was included in 1999) also made affordability claims against numerous pay day loan firms when I got in a spot of bother in 2012-15.
    • Lucylocks
    • By Lucylocks 18th May 17, 9:19 AM
    • 4 Posts
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    Lucylocks
    Fantastic news and well done! Can you tell me the timescale Lloyds took to resolve. I've recently entered complaint and received acknowledgement but nothing further. I know there is 8 week timescale applied but wondered if I could expect to hear in the interim (appreciate it will be different for each complaint)
    • Moneyineptitude
    • By Moneyineptitude 18th May 17, 1:21 PM
    • 18,532 Posts
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    Moneyineptitude
    The Banks take eight weeks to consider complaints.

    After the initial acknowledgement, the next communication will be their full and final decision letter.

    They will only write to you otherwise if there is information lacking in your complaint.
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