PPI Reclaiming discussion Part III

di3004

miamoo wrote: »

Where do you stand if you have made a claim on your PPI? My boyfriend was made to have the banks PPI or the loan would be refused. A similar policy would have cost him less than a quarter of what they charged him. Is there anything he can do.
To (try and ) cut a long story short, he has tried to cancel his PPI, the bank let him and then told him he still had to pay the £5000 PPI that was still outstanding. The bank have lost his origional loan agreement (he asked to see it)

Hi there hun
Has any claims been made on this at all for example, sickness/unemployment?;)

di3004

marcus01235oxon wrote: »

i was told that because i had a poor credit rating i had to take the ppi out, other wise the loan would be refused

You should still have been given the option to cover this separately, so I think you have a case here, however also check out on the above red box "reclaim £1,000's" to see if there are also other reasons to back up your case.
Good luck.

marshallka

miamoo wrote: »

Where do you stand if you have made a claim on your PPI? My boyfriend was made to have the banks PPI or the loan would be refused. A similar policy would have cost him less than a quarter of what they charged him. Is there anything he can do.
To (try and ) cut a long story short, he has tried to cancel his PPI, the bank let him and then told him he still had to pay the £5000 PPI that was still outstanding. The bank have lost his origional loan agreement (he asked to see it)

And also note this is cancellable too and they are wrong to say its not. You do have to take out a new loan sometimes when you cancel but they should treat you fairly in that the new loan should not be a higher APR etc.

Sounds like this PPI was a single premium type where its actually another loan on top of your original loan and therefore had interest on it too. By cancelling it you would not reduce your repayments by much and depending on how long it has already run for is how the rebate is determined but again this should be fair.

http://www.which.co.uk/advice/cancelling-your-ppi-policy/index.jsp

You can still cancel this and also go ahead with reclaiming it back if you feel its missold and was forced upon you. Its up to you..

di3004

marshallka wrote: »

And also note this is cancellable too and they are wrong to say its not. You do have to take out a new loan sometimes when you cancel but they should treat you fairly in that the new loan should not be a higher PPI etc.

Yes I agree.;)

di3004

Right then, My eldest is home from work and he is babysitting while myself and hubby do a bit of late night shopping, can't afford to spend too much though, so will be looking for bargains in the sales, "Woolworths" is one place to go, as they are due to close 4th Jan......SAD....... , gonna miss that place.

Catch you lata folks.:D

marshallka

di3004 wrote: »

You should still have been given the option to cover this separately, so I think you have a case here, however also check out on the above red box "reclaim £1,000's" to see if there are also other reasons to back up your case.
Good luck.

DI, marcus has already won and posted it earlier today. He was just replying to Pinknico about why he made the complaint.:D


marcus01235oxon
MoneySaving Newbie


Join Date: May 2007
Post Count: 11
Thanked 10 Times in 4 Posts


You can tell egg have been fined...
I've claimed against egg for mis selling me my ppi. I am on week 7 and i've been ringing them every two weeks, just out of boredom. And this morning i got told that its been "Upheld", and that they have sent the cheque down to be signed off.

Yay.... i was only expecting £937, but i am getting £1015.09. Just have to wait for the cheque to arrive in the post now....

Result........

Thanks Martin and everyone.......

Merry Christmas:A

pinknico

marshallka wrote: »

What year was this??

If they have lost his agreement they dont have a leg to stand on. Get a final response and then take to the FOS.
Which bank and what year?

marshallka

di3004 wrote: »

Yes I agree.;)

I meant higher APR and Not PPI

marshallka

I have seen lots of people on here ask about how much PPI they should get back if a complaint is upheld and some people still have loans running. I have always said that you get it all back but if the account is still running you would only receive what you have actually paid out in the form of "cash in hand" and the rest CAN be used to reduce your capital owing on your credit.

I have just read this from "Which" and maybe this confirms some peoples complaints on here the company can use some of the PPI (the PPI that you would have paid out if you had finished the loan) to reduce your loan.

How much money should you get back?

If your complaint is upheld, then the firm should do its best to put you back into the position you'd have been in if you had never taken out the PPI.
Regular premium policy

If you have a regular premium policy, such as those attached to mortgages and credit cards, then you should receive a refund of any PPI premiums paid by you and, if applicable, a refund of any additional interest charged to you because of the PPI.
Single premium policy

If you have a single premium policy, such as those often attached to personal loans or finance agreements, then the compensation you receive will depend on whether your loan is still in force or not.
If your loan is still in force - your lender should calculate what your loan repayments would have been had PPI not been added to the loan, and how much should have been repaid so far. Any overpayments you have made will therefore be applied to your outstanding loan – reducing the amount of capital you owe.
If your loan or finance agreement is no longer in force - you should still get back any PPI payments you made, plus the difference between the redemption figure you paid and what it would have been had you never taken out the PPI policy.
Statutory compensation for mis-sold PPI

You may also be entitled to statutory compensation, which is usually set at 8% of the money refunded. This is to make up for the fact that you haven't been able to use the money during the time you held the PPI – after all, you might have saved or spent it elsewhere.

marshallka

Also this is a shock here from "whatconsumer"

Its says about PPI here.... (July 2008)

No obligation, shop around

PPI is not obligatory, unless the lender makes it clear that is it a condition of the loan.


http://whatconsumer.co.uk/payment-protection-insurance-ppi/

According to this then you CAN be told you have to take out PPI if the lender makes it clear... .