confused about loan

ninjastriker

I just got contaced by metropolion who is dealing with HSBC about my loan, at the moment it is in the hands of CAB who is dealing with HSBC.

What i am a bit confused about is that what i owe is alot less then when i originally had a letter demanding payment. So i don't know what had happend and why it is less.

I am thinking its the PPI, which all i did was send a letter asking for the term & conditions but i had no response back about this for nearly a month.

Here is a full break down of it all -

Principal loan - £3,600
PPI - £630
Total loan £4,230

Total amount payable under this agreement

principal loan - £4,661.46
PPI - £815.70
Total loan - £5,477.16

1st payment of loan £129.66 and then £129.48 over 35 months
1st payment of PPI £22.60 and then £22.66 over 35 months
1st payment of loan £152.26 and then £152.14

APR 16.9%., interest rate per annum 17%

Total charge for credit prinicpal loan- £1,061.46
Total charge for credit PPI - £185.70
Total charge for credit - Total loan - £1,247.16

The amounts are the same under the total interest.

1st payment was 3rd July 2007
payments made £912.96 over 5 months, no more payments since.

New total as of June 08 from the letter - £4,564.20
New total I owe as of JUly 08 - £3,778.48.

So what happened to this £785.72 difference. any ideas, i'm glad its less just curious what happened here.

beanielou

As you say could well be a partial refund of the PPI.
But I dont have a crystal ball so cant say for sure.