Cancelling PPI CAN BE DONE!!!!!

katiekittykat

Good luck - will keep my fingers crossed for you

dawnylou

katiekittykat wrote: »

I got a letter from them on sat - they said the ppi has been cancelled and the amount left has been reduced to show that ppi has been taken off - they never even mentioned a refund for the ppi i have paid anywhere in the letter?

Yes that is right Katie.
If you loaned £10,000 and took PPI that would cost £3,000 for the term of the loan in effect you loaned £13,000 as the PPI is added to your advance.
Therefore if you have had the loan for 1 year and then cancel PPI you have been protected for the first year so you will receive a rebate from the PPI (which is calculated to take into account that you had been protected for 1 year) however your rebate is paid into the loan account itself therefore reducing the balance of the loan outstanding. Your payments will probably remain the same.

However just to stress I have only been lurking here and am not too sure of your exact details.
The above information is true of a LTSB loan.

Hope this helps.

katiekittykat

Hi, Thank you so much :)My monthly payment has been reduced by £39 - better than nothing! Thanks again

charlieboy_2

About 2 years ago I took out a £40000 secured loan with FirstPlus to cover off a lot of debts.

As part of the loan I was told that I would have to take PPI worth £7200 or I would not be accpeted for the loan.

I did not know any different, and stupidly took out the loan:o

Recently, our house price has rocketed and we wanted to move and repay the firstplus loan.

Settlement figure turned out to be £47500 after two years of payment of £500. :eek:

The financial adviser made us aware that it is illegal to force PPI on to borrowers, and should not be a criteria of whether you are accepted or not.

So, I contacted FirstPlus a number of times but to no avail, and they said that I signed the agreement and that was that.

So, I then contacted the Financial Ombudsman, and they took on the case.

After a number of months of silence and in the mean time I have payed the loan off, I have just received a letter from Firstplus, saying that they admit fault and taking advice from the FO they have made a check out for all of the PPI + Interest.

a whooping £8500:beer: :j :rotfl:


I am well happy, I now know that sceured loans are really not the best way to borrow money an will not being oing it again.

thanks all

bugbog

My husband cancelled PPI on our tesco loan, the lump sum of £2,788 was added at the beginning of the loan, and of course interest charged on this (grrr....)
Anyway, the loan agreement stated our repayments were £390-57 in total, the main repayment being £336.33, and £54.35 per month.
Of course when they told us our revised payments, they were only reduced by £20 ish. I wrote to them (only once) quoting various things, and their own loan agreement, with the PPI leaflet which stated their loan would be recalculated but no specific detail of how. (On their website now, it does state rule of 78 etc, but not in the leaflet we were sent at the time).
Response today that they will reduce the payments to the £336.22, and credit us with £87 ish, from the date we cancelled it - result!
We weren't arguing that the policy was missold, just that our cancellation didn't reduce the payments by enough. And it worked. So keep trying, everyone out there!

Steel_2

Hi there guys

I had a letter from my bank this morning and would appreciate some advice. I wrote a letter to my branch manager two weeks ago with four complaints, three relating to PPI and the conduct of their staff and one related to mis-selling me a loan and the conduct of the staff member concerned.

I also asked for my PPI to be cancelled and at least a partial refund to be issued from the time I went self-employed at the beginning of 2005 (despite many opportunities, a full financial review and knowing from information I supplied to them over the phone I had business insurance etc they never bothered to tell me that the PPI was completely worthless to me and insisted it was necessary.), if not a full refund due to their complete lack of eligibility checks which would have revealed my old employer actually provided for all of their staff extremely well.

This morning I had a letter from some random customer service bod in Bristol agreeing to cancel the PPI insurance, bringing my payments down from 128.99 to 121.37 and nothing else. Not even an acknowledgement of my complaints at all.

Do I give them a couple more days to see if I receive a letter acknowledging my complaints or send another letter to them?

To be honest, I don't care how busy they are, it's just plain rude not to send even a cursory template letter. I've managed to scrape the money together to pay off the loan and when I rang up this morning to get a settlement figure the advisor was cold, edgy and aggressive. I didn't talk about the complaint, I simply politely asked for a settlement figure. I've taken this to mean they probably have on record my complaint. (Actually I know they do. She didn't call me Mrs Steel as is on all my financial stuff, but Dr Steel which I used to sign off in the complaint letter.)

What are my next steps?

Steel_2

One more thing.

The letter stated my monthly repayment figure will not reduce by the amount of monthly insurance payment stated on the Consumer Credit Act agreement. They have apparently paid more of the insurance at the beginning of the loan term and will pay less at the end.

But surely that's misleading and contrary to what I signed on the agreement form? I signed that about £35 of the repayment amount every month would be insurance.....

regularsaver1

I'd wait. they are probabaly still delaing with it, but they should have at least acknowledged it (most companies have to acknowledge your initial complaint within 5 working days, but have up to 8 weeks to deal with it)

the standard letter you received might be an indication that they have started dealing with it and you will receive a more detailed response later

in regard to the mis-selling, they are probably getting statements from staff members (or listening to telephone call)

Steel_2

regularsaver1 wrote: »

In regard to the mis-selling, they are probably getting statements from staff members (or listening to telephone call)

It happened in April 2004 - if they do still have telephone records, can I request copies of our original conversation to listen to?

I'd love to believe they were that organised but the last time I spoke to them they couldn't tell me what the APR on my loan was or find records of my loan agreement.

Somewhere in the shady bowels of RBS a dusty archive vault door creaks open....

pannetteb

I have a loan with Welcome Finance, can anyone send me or post a template letter to cancel this?