PPI Reclaiming discussion Part III

dreamer33

my settlement was:

Total amount payable under the agreement (£99,042.51) (never saw this figure until settlement) is made up of the balance at settlement date £49,377.56 plus £49,664.95 remaining interest charge, which would have been charged if your loan had run its term.


Less rebate on early settlement fig (£48,548.75) includes £1,145.17 insurance policy rebate and £47,403.58 rebate of and £47,403.58 rebate of the remaining interest charge calc using rule of 78 formula.

Total amount payable less the rebate on early settlement plus admin charge of £150 has given a settlement fig at as sept 04 of £50,643.76.

We were well and truly disadvantaged.

Total loan £40k plus £9796 ppi

marshallka

dreamer33 wrote: »

my settlement was:

Total amount payable under the agreement (£99,042.51) (never saw this figure until settlement) is made up of the balance at settlement date £49,377.56 plus £49,664.95 remaining interest charge, which would have been charged if your loan had run its term.


Less rebate on early settlement fig (£48,548.75) includes £1,145.17 insurance policy rebate and £47,403.58 rebate of and £47,403.58 rebate of the remaining interest charge calc using rule of 78 formula.

Total amount payable less the rebate on early settlement plus admin charge of £150 has given a settlement fig at as sept 04 of £50,643.76.

We were well and truly disadvantaged.

Total loan £40k plus £9797 ppi

Same as us dreamer, we had the wicked rule put on us but there is nothing we can do involving the FOS but there are always the courts ...:D .

How much was your rebate against the insurance. We never knew this until we asked them for a complete breakdown of the settlement and it was not until then and being on here that we realised that the rebate against the insurance compared to what the policy cost us including the interest was so low. Our policy actually cost us £9000 and we got a rebate of £90. Not fair at all for 39 months.....They should not be allowed to continue charging us for a policy that is no longer of use to us or use the rebate in their terms and conditions on the policy. Its totally wrong...

When we always queried the settlement figures they always told us it was cause of the rule of 78 when in actual fact it was cause of the PPI interest and then using the rebate formula against the rebate...which is in the terms and conditions of the PPI policy and is totally not understandable unless you are a finance expert. It was not a term which was written in a way which was understandable.

There was no pro rata rebate formula and that I do not mind if its pro rata against the PPI and the Interest as well...

dreamer33

marshallka wrote: »

Yes it is. I have gone for unfair rebate of the PPI being an unfair terms in consumer contracts regs 1999 as the rebate was calculated this way and I find this an unfair term making a totally unfair contract.

Don't know if I will get anywhere but I was told by the FOS that my complaint against the rebate we had to the insurer (compulsory jurisdiction) as they underwrote the policy and it was their terms that determined the rebate...

Termination of Cover and Benefit
If you cancel your policy before its normal expiry date you will receive a rebate of your premium provided you have not made a successful claim. Your insurers will not calculate your rebate proportionally, rather under the Rule of 78 set out in the Consumer Credit Act 1974.

Thank you for your email regarding your above mentioned complaint. Your complaint has been passed to me to determine whether or not it is one which we can consider. From the papers in the file I understand that you would like us to investigate a complaint about the unfair rebate paid on your PPI policy.

Whilst I appreciate that your policy was sold by Firstplus in January 2000, and issues relating to rebate payments should be directed to the insurance company who underwrote the policy. I therefore suggest that you initially contact the insurance company as they provided the rebate, in order to raise your concerns with it. Details of the insurance company should be stated in your policy booklet.

The complaint handling procedures which are laid down by the Financial Services Authority, state that a business must be provided eight weeks from date the complaint is received, so that it has the opportunity to ‘put things right’, and investigate the complaint. The insurance company should therefore have eight weeks from date of receipt of your letter to look into the complaint and issue its final response letter on the matter. Consequently, if after receipt of its final response letter, you remain dissatisfied with the outcome of its investigations, you should contact us within six months from the date of its letter to refer your complaint to us.

On the basis that Firstplus are not responsible for the unfair rebate issues relating to your PPI policy, it would be inappropriate for me to investigate a complaint against it, and for that reason I will move to close the complaint unless I hear from you with any further comments that you feel would make a significant difference to the outcome by 6 November 2008.


After receiving this email I then telephoned and asked them to find out who the insurer was as I was confused as mine was supposedly a syndicate of insurers and they told me that they would find out from FIrstplus and ask the insurer for a final response and then look into my complaint. I don't know if I will recover any of the money they took but certainly better than nothing here.

Yes I agree, I wish you luck.

What I'm now wondering is what exactly was the job of FP. They appear to have this protected barrier around them.:mad:

dreamer33

marshallka wrote: »

Same as us dreamer, we had the wicked rule put on us but there is nothing we can do involving the FOS but there are always the courts ...:D .

How much was your rebate against the insurance. We never knew this until we asked them for a complete breakdown of the settlement and it was not until then and being on here that we realised that the rebate against the insurance compared to what the policy cost us including the interest was so low. Our policy actually cost us £9000 and we got a rebate of £90. Not fair at all for 39 months.....They should not be allowed to continue charging us for a policy that is no longer of use to us or use the rebate in their terms and conditions on the policy. Its totally wrong...

When we always queried the settlement figures they always told us it was cause of the rule of 78 when in actual fact it was cause of the PPI interest and then using the rebate formula against the rebate...which is in the terms and conditions of the PPI policy and is totally not understandable unless you are a finance expert. It was not a term which was written in a way which was understandable.

There was no pro rata rebate formula and that I do not mind if its pro rata against the PPI and the Interest as well...

We took the loan and ppi out jan 04 settled in nov 05 when we remortgaged to get rid of them. Rebate on ppi was £1145.17 I think

Your rebate is disgusting I not suprised you are complaining about this. I asked how could we owe more than we borrowed they also said because of the rule of 78, FF sharp explained it then when we signed but not before.

marshallka

dreamer33 wrote: »

Yes I agree, I wish you luck.

What I'm now wondering is what exactly was the job of FP. They appear to have this protected barrier around them.:mad:

Dreamer going to call it a night now but the role of Firstplus was to loan the money and they were not regulated by anyone for anything pre 2005 and that is the annoying thing in this. They were members of the GISC November, 2001 but they rarely sold the insurance themselves... It seems we are all told we went through a broker. :rolleyes:

Catch you tomorrow...

marshallka

dreamer33 wrote: »

We took the loan and ppi out jan 04 settled in nov 05 when we remortgaged to get rid of them. Rebate on ppi was £1145.17 I think

I bet that was nothing compared to what it ACTUALLY cost you in the long run including the interest.

Catch you tomorrow.

dreamer33

marshallka wrote: »

Dreamer going to call it a night now but the role of Firstplus was to loan the money and they were not regulated by anyone for anything pre 2005 and that is the annoying thing in this. They were members of the GISC November, 2001 but they rarely sold the insurance themselves... It seems we are all told we went through a broker. :rolleyes:

Catch you tomorrow...

Night marshallka I shall retire myself lol

ElastiMum

Good morning

Think this one got lost... would appreciate someone's thoughts on this

Now that I'm on a roll-I've another question regarding a loan I took out with Egg. I took out the loan in 2002 and in 2004 I re-financed which meant taking out a new loan.For both loans PPI was added on as a lump sum at the start :-$
I have already sent a mis-selling letter to egg regarding the second loan (no response as yet). My query is-when restructuring the loan-I'm not sure that the PPI from the first loan was subtracted from my outstanding amount! i.e. the amount remaining on that loan was added into the second loan. Do you think I have any reason to take action on this?

thanks again

maxdp

ElastiMum wrote: »

Good morning

Think this one got lost... would appreciate someone's thoughts on this

Now that I'm on a roll-I've another question regarding a loan I took out with Egg. I took out the loan in 2002 and in 2004 I re-financed which meant taking out a new loan.For both loans PPI was added on as a lump sum at the start :-$
I have already sent a mis-selling letter to egg regarding the second loan (no response as yet). My query is-when restructuring the loan-I'm not sure that the PPI from the first loan was subtracted from my outstanding amount! i.e. the amount remaining on that loan was added into the second loan. Do you think I have any reason to take action on this?

thanks again

Hi Elastimum

Yes you would if they were front loaded and you refinanced them the PPI would effect both loans so claim for both and make sure you tell them (in case they forget) that they were not stand alone loans but were re-financed.

Good Luck:D

marcus01235oxon

I've just written to Egg about reclaiming the ppi i had to take out (because the loan would not be given if i didn't) and i got a letter back saying they will look at it, but it'll take upto 8 weeks.Is this timescale right? 8 weeks seems to be a bit too much