PPI Reclaiming discussion Part III

dreamer33

emlee-123 wrote: »

hi,

i'm new to this and not sure if I've replied to a message or posted my own question but here goes and hopefully someone will answer.

I took a loan out in 2006 - £4000 over 4 years. At the time I was asked to fill a questionnaire in and was told the answers pointed out that It would be strongly recommended to take out PPI especially as I was told ' I was a single parent and should put looking after my son as a top priority'.
My contract states the loan and then the ppi which equals the sum of money it pay per month. ppi is just above 20.00 per month.

After a year (and watching the watchdog programme on this) I decided I shouldn't have allowed myself to feel bullied into taking ppi out and wanted to cancel it. I made an appointment with the bank but was shocked to be told that if I cancelled my ppi then the loan would need to be recalculated and as interest rates have rose then I would be paying more for the recalculted loan without ppi as oppose to the current 'great deal ' that i recieved the previous year.
Although I feel i was pressurred through emotional reasons into the loan by being made to feel a bad mother - I was told about it, the amount it would be and It was never said I had to have it.

My question is more through cancelling the ppi can the banks charge you a higher interest rate and make you pay more? or was a stupidly fobbed off again?

Hi

found this info below which might answer your question it seems similar to your situation:

Is this PPI advice legal?


By Suzanne Ames
October 01 2007
Question
I got a personal loan with HSBC and payment protection insurance (PPI) as well in 2004. I decided to cancel my existing PPI because I found a cheaper one that has the same benefit. When I went to my branch and informed them about it, they told me I have to cancel my existing loan and apply for a new loan. According to the lady at the bank, things have changed since 2004.

She also said that they have to credit score me again and they might not loan me the same amount for the rate that I have now. Is this legal and accurate?


Answer
PPI is currently in the spotlight following allegations of mis-selling. This has led many borrowers to reconsider whether their policy represents good value and more importantly, whether such a policy is needed at all.
It is a sensible decision to shop around for a cheaper standalone policy as some lenders' standard policies can be more expensive. Borrowers should always ensure that they check the benefits carefully to be certain that they are paying for cover that they actually need and want.
The good news is that following regulatory changes last year, many lenders will now allow borrowers to cancel their PPI policy whilst keeping the loan. However, this is not a legal requirement and lenders are still able to make you cancel the loan as well as the PPI policy. In order to check whether your bank has informed you correctly, check the terms and conditions of your loan. These should indicate whether you can cancel your PPI policy separately.
If you discover that the loan and the PPI policy must be cancelled together, then your bank will need to re-run a credit check on you if you wish to take out another loan with them. As your situation may have changed since 2004, you will be treated as a new applicant. Therefore, you may well get a worse (or better!) rate than when you took out the original loan.
Do bear in mind that APRs have generally been on the increase since 2004, so if you had a fixed rate of interest on your existing loan, your new loan may well be less competitive. So, if you decide to take out another loan, make sure that you shop around in order to get the best rate.
Even if the cancellation process runs smoothly with a single-premium policy, the refund is unlikely to be proportionate to the time left on the policy. This is because of the way PPI providers calculate the value of cover - it is more expensive early on in the loan as claims would be proportionately more expensive for the provider at that time.
Many consumers don't know it but, by law, they have the right to cancel any PPI policy within the first 14 days of accepting it (or 30 days if life cover is included). In this case, a full refund of the cost of the PPI must be made - but expect some small administration charges to be deducted first.

di3004

owlet wrote: »

Hi all,

Just a quick update on progress, I sent a template letter to NR (as you said Di) claiming due to being told that I could not have the loan unless I took out the PPI and not being told of options.

I have received back a standard "sorry you are unhappy" letter along with a copy of their complaints policy and a questionaire to complete and send back to their complaints dept. Can I ask a couple of quick questions?

Should I send a copy of my original letter again with this?
Should I send SAR even though I have the original paperwork?
Am I right in understanding that as they added the full premium of the PPI to the loan, with interest, that I can also claim on these grounds?

Thanks everso much in advance! Keep slogging away everyone, we will win in the end!

Hi there Owlet.

Wow that was a quick response you received from NR, am I correct that you haven't long done this?;)

You can send a copy of your original letter if you want to, that is up to you although I imagine they will have a copy kept on data now anyway, but yep hun, if it helps then go for it.

Now regarding the SAR, this may not make any difference as they will also have copies of that also.

And yes, unfortunately with these loans, that they add the full premium of the loan and ppi with interest, which can also be part of your complaint here.;)

May I ask what sort of questions are on this questionaire? if its the one I'm thinking of, many recently have received these and have not bothered, but added a letter with the questionaire and told them they have already made their point on the letter, its up to you here, but to me they are using these questionaires as stalling tactics.

See what others suggest about this too hun and good luck. x

dreamer33

Just had a thought, there are a lot of people on here who seem to know what their monthly ppi cost was/is, I am starting to think that my credit agreement in 2004 should have shown this amount, any ideas?

dreamer33

owlet wrote: »

Hi all,

Just a quick update on progress, I sent a template letter to NR (as you said Di) claiming due to being told that I could not have the loan unless I took out the PPI and not being told of options.

I have received back a standard "sorry you are unhappy" letter along with a copy of their complaints policy and a questionaire to complete and send back to their complaints dept. Can I ask a couple of quick questions?

Should I send a copy of my original letter again with this?
Should I send SAR even though I have the original paperwork?
Am I right in understanding that as they added the full premium of the PPI to the loan, with interest, that I can also claim on these grounds?

Thanks everso much in advance! Keep slogging away everyone, we will win in the end!

Do you have a copy of the telephone recordings? It might be worth obtaining these if you have not got them.

dreamer33

di3004 wrote: »

Hi folks

Problems with the puter again and the charger is the cause of it.:rolleyes:

Marshallka I will have a good read at your posts when I have 5, thanks for posting them.;)

After me complaining about the postie not coming earlier today well the postie did turn up just after lol, anyway, we have been waiting for a letter to come from the insolvency service from London from hubby's compo for when the steelplant closed down just before last Christmas, and a letter did come from the insolvency service in Manchester, it was a letter about a mobile company went into liquidation June this year, me or hubby have nothing to do with these and have never signed a contract to do with mobiles, as we use and have always used pay as you go...... , the letter states about compensation.

There is something wrong here somewhere,
the name of the company that went into liquidation was:
Mobile Matters (UK) Limited
Company no: 04787711

It was addressed to us and we have not got a clue, this letter was dated 21 Oct 2008.

Even though we have registed about Twopart/eloan with these actual ones....... , the number is nowhere near the same, don't know what went wrong here.

I will be back later on, need to do a bit of shopping, so just as long as my puter does not play up again I will be back.:D xxx

More info for you:

Name & Registered Office:
MOBILE MATTERS (UK) LTD
GLENDEVON HOUSE HAWTHORN PARK
COAL ROAD
LEEDS
LS14 1PQ
Company No. 04787711

Status: Liquidation
Date of Incorporation: 04/06/2003

Country of Origin: United Kingdom
Company Type: Private Limited Company
Nature of Business (SIC(03)):
5263 - Other non-store retail sale
Accounting Reference Date: 30/06
Last Accounts Made Up To: 30/06/2006 (TOTAL EXEMPTION SMALL)
Next Accounts Due: 30/04/2008 OVERDUE
Last Return Made Up To: 04/06/2007
Next Return Due: 02/07/2008 OVERDUE
Last Members List: 04/06/2007
Insolvency History Previous Names:No previous name information has been recorded over the last 20 years.[URL="javascript:popup('/goWCK/help/en/stdwc/branchDetails_H.html',500,500);"]Branch Details[/URL] There are no branches associated with this company.[URL="javascript:popup('/goWCK/help/en/stdwc/overseaCompDet_H.html',500,500);"]Oversea Company Info[/URL] There are no Oversea Details associated with this companyInsolvency details:

Case Number:2Case Type:COMPULSORY LIQUIDATION Practitioner name:OR Manchester, The Official ReceiverPractitioner address:1st Floor
Boulton House
17-21 Chorlton Street
Manchester
M1 3HY

di3004

dreamer33 wrote: »

More info for you:

Name & Registered Office:
MOBILE MATTERS (UK) LTD
GLENDEVON HOUSE HAWTHORN PARK
COAL ROAD
LEEDS
LS14 1PQ
Company No. 04787711

Status: Liquidation
Date of Incorporation: 04/06/2003

Country of Origin: United Kingdom
Company Type: Private Limited Company
Nature of Business (SIC(03)):
5263 - Other non-store retail sale
Accounting Reference Date: 30/06
Last Accounts Made Up To: 30/06/2006 (TOTAL EXEMPTION SMALL)
Next Accounts Due: 30/04/2008 OVERDUE
Last Return Made Up To: 04/06/2007
Next Return Due: 02/07/2008 OVERDUE
Last Members List: 04/06/2007
Insolvency History Previous Names:No previous name information has been recorded over the last 20 years.Branch Details There are no branches associated with this company.Oversea Company Info There are no Oversea Details associated with this companyInsolvency details:

Case Number:2Case Type:COMPULSORY LIQUIDATION Practitioner name:OR Manchester, The Official ReceiverPractitioner address:1st Floor
Boulton House
17-21 Chorlton Street
Manchester
M1 3HY

Lovely thanks hunni.;)

The problem I have here is that the letter from the insolvency service was address to me and I have never had anything to do with them, think there must be some mistake and that letter was meant to be for someone else, although we do have a claim registered with them about another company but not these...... .

di3004

dreamer33 wrote: »

Just had a thought, there are a lot of people on here who seem to know what their monthly ppi cost was/is, I am starting to think that my credit agreement in 2004 should have shown this amount, any ideas?

Hmm, defo check this out hun, like mine some did disclose and some did not.

I did not know what the payment would be on its own sort or thing a month then, the full figure of the loan would be in part A and ppi in part B, even though it showed the repayment a month it was a full figure it did disclose but not the actual amount on its own of the ppi.

dreamer33

di3004 wrote: »

Lovely thanks hunni.;)

The problem I have here is that the letter from the insolvency service was address to me and I have never had anything to do with them, think there must be some mistake and that letter was meant to be for someone else, although we do have a claim registered with them about another company but not these...... .

It sounds like they may have sent it by mistake, it sounds like a mobile phone company have you ever purchased mobil phones from them over the net? Best to call them monday like you say to clarify.

dreamer33

di3004 wrote: »

Hmm, defo check this out hun, like mine some did disclose and some did not.

I did not know what the payment would be on its own sort or thing a month then, the full figure of the loan would be in part A and ppi in part B, even though it showed the repayment a month it was a full figure it did disclose but not the actual amount on its own of the ppi.

Did your agreement show the total cost of the loan over the number of years?

Mine just had total charge for credit ie loan amount added to ppi.


Been looking on the court website ref fees just incase I need to go there:

http://www.hmcourts-service.gov.uk/courtfinder/forms/ex50.pdf

marshallka

emlee-123 wrote: »

hi,

i'm new to this and not sure if I've replied to a message or posted my own question but here goes and hopefully someone will answer.

I took a loan out in 2006 - £4000 over 4 years. At the time I was asked to fill a questionnaire in and was told the answers pointed out that It would be strongly recommended to take out PPI especially as I was told ' I was a single parent and should put looking after my son as a top priority'.
My contract states the loan and then the ppi which equals the sum of money it pay per month. ppi is just above 20.00 per month.

After a year (and watching the watchdog programme on this) I decided I shouldn't have allowed myself to feel bullied into taking ppi out and wanted to cancel it. I made an appointment with the bank but was shocked to be told that if I cancelled my ppi then the loan would need to be recalculated and as interest rates have rose then I would be paying more for the recalculted loan without ppi as oppose to the current 'great deal ' that i recieved the previous year.
Although I feel i was pressurred through emotional reasons into the loan by being made to feel a bad mother - I was told about it, the amount it would be and It was never said I had to have it.

My question is more through cancelling the ppi can the banks charge you a higher interest rate and make you pay more? or was a stupidly fobbed off again?

If you cancel the PPI they shoud not charge you a higher APR for doing so. Its called treating customers fairly and you could make a complaint over this.