Newbie - would like some help with PPI

dd1958

Hi there
I have just signed up today after visiting this site a few times in the past looking for relevant info and usually finding it pretty useful. However, I have decided I need to take my head ou of the sand and stop pretending that I can carry on robbing peter to pay paul in the hope that a miracle is going to happen (like winning the lottery) which will allow me to pay all my debts and not have the shame of admitting I don't even know how i got here.

I have been out of work now for over 12 months and have already wrote to my main debtors to reduce payments. The first being Lloyds tsb are at the moment great because I am on incapacity benefit and so although they still take my full monthly payment from me they also give it me back two weeks later. The second loan is with HFC and they have agreed to reduce my payments from £222 a month to £25 a month. The third is Northern Rock who have reduced my payments from £424.84 a month to £287 - which still seems a lot to me. And this is also where my help with PPI comes in. This morning I had a phone call from a credit agreement company who wanted to know if I had any loans and did i pay PPI. Until this conversation i had never really looked at how much ppi had been paying to NR and couldn't believe i had been silly enought to agree to it in the first place. Any way to summarise: I took out a loan in March 2006 with Northern Rock for £25,000 to be repayed over 10 years at a monthly repayment of £424.84 to include PPI incase of sicknes or redundancy. However, what I didn't realise was that £113.28 of my monthly repayment was to pay for this PPI which over the 10 years will eventually cost me (with interest) £13,593.60 (phew!). The upside is that when I cam out of work last year I did make a claim and they paid me but obviously although my payments are now reduced I am still paying against this ppi. The company that rang this morning said that they could make a claim on my behalf for an upfron payment of £295 and then a percentage of any 'winnings'.

What i would like to know is are they right - do i have a case to claim? and if so is it worth me getting them to act on my behalf or would i be wise to go it alone using your template letters which wouldn't cost me and therefore get me more money towards paying off my debts.

Sorry this has been long winded but I anyone has managed to read all this without falling asleep I would be grateful for any help.

Thanks

mbaz

I'm still awake!!

TBH if you want to reclaim I would probably do it yourself if you have the time. It's just a case of sending a few template letters and probably going to the ombudsman if they are anything like mine but I'm not sure whether you can reclaim if you have made a claim on it. Have a look at the section on this site. (click on "reclaim thousands" at the top)

Good luck!

mrmajika

I'll start by saying that I know very little about the whole reclaiming process.

From the limited knowledge that I have on this subject, I believe most reclaims are based on the fact that the product was mis-sold as the individual would not be able to register a claim given their circumstances. That is, they would not be able to claim on the insurance.

From what you say, it sounds like you have (quite rightly) claimed on the policies that you have with your various loans. I would imagine that this would cause problems when attempting to register a claim.