PPI Reclaiming Discussion part 4

robbedofmymoney

bugsy161 wrote: »

Back again with my thoughts on refunded interest on a credit card PPI.
I may be totally wrong but here are my thoughts.

Lets take the credit card interest at 1.25% per month and the PPI is £50 per month, paid for 5 years.

If you look at it monthly do you therefore use the calculation as;

£50 x 1.25% = £50.63 then add the 8% = £54.68

If this is the case then, do you do the next calculation based on the £54.63 figure as it is compounded, or on the £50.63 figure.

Any pointers would be much appreciated.

the calculations for the compound and 8% simple interest are carried out seperately.

following the FOS guidlines you will get compound interest refunded to you that was applied to your premiums.

then you will get the 8% simple on any amount where your account would have been in credit once your premiums and compound interest have been removed. it sounds comlicated and unfortunately it is.

this is how the FOS would carry out the calculation to put the account back into the position as if the ppi had not been added in the first place.

the 8% simple is applied slightly differently to credit card ppi. as unless it is actually paid, the FOS say you have not been deprived of this money.

so when they refund you the premiums plus the compound unless this puts your account in credit you will not get much in the way of 8% compensation.

please see the following link https://forums.moneysavingexpert.com/discussion/1596473

i hope this helps, the credit card company should give you a full itemised statement when they send you an offer, this is when its best to check the figures.

bugsy161

Thank you for the guidance.
Will let you know what happens

BigCraigJohn

amersall wrote: »

hello again, you go for it i think you have a good chance, good luck, keep us posted if you need anymore help x

Thanks for that.
1 reclaim at a time I think then, business is suffering because of all this mse time.

Do you think I should write back to mbna and point out that they didnt send me the agreement for the ppi in the SAR?, if they dont have it to explain why?. Might give me some answers without having to ask.

Heres the cca and theres nothing.

http://i1017.photobucket.com/albums/af299/badgercraig/mbna1.jpg?t=1274108964

http://i1017.photobucket.com/albums/af299/badgercraig/mbna2.jpg?t=1274109228

Wouldnt mind seeing the rest of the page

amersall

BigCraigJohn wrote: »

Thanks for that.
1 reclaim at a time I think then, business is suffering because of all this mse time.

Do you think I should write back to mbna and point out that they didnt send me the agreement for the ppi in the SAR?, if they dont have it to explain why?. Might give me some answers without having to ask.

Heres the cca and theres nothing.

http://i1017.photobucket.com/albums/af299/badgercraig/mbna1.jpg?t=1274108964

http://i1017.photobucket.com/albums/af299/badgercraig/mbna2.jpg?t=1274109228

Wouldnt mind seeing the rest of the page

hi there, there would be no harm in asking them for an agreement that you signed for ppi, it is worth a go, good luck x

da666shooker

Yay, had some good news today, RBS have agreed to pay me overall total of £125 PPI back (every little helps!).

Also, HSBC sent me a final letter after months of correspondence to and from them..."at this time we do not agree with your complaint...for you to cancel PPI you must contact us so we can cancel the current agreement by issuing you a new loan with the PPI removed"....this was the whole reason i complained in the first place!

to cut a long story short i sent a cancellation letter to HSBC a long long time ago and they informed me that i would have to reapply for credit with the PPI removed...as per MSE this is incorrect, i then told them this in a letter and it has been going back and forth ever since. Anyway...have sent a copy of the latest letter and sent a complaint form to financial ombudsman...rang the FO today and the complaint is awaiting allocation of an adjudicator! Will keep you posted with the outcome....

next...
credit card charge reclaiming

di3004

da666shooker wrote: »

Yay, had some good news today, RBS have agreed to pay me overall total of £125 PPI back (every little helps!).

Also, HSBC sent me a final letter after months of correspondence to and from them..."at this time we do not agree with your complaint...for you to cancel PPI you must contact us so we can cancel the current agreement by issuing you a new loan with the PPI removed"....this was the whole reason i complained in the first place!

to cut a long story short i sent a cancellation letter to HSBC a long long time ago and they informed me that i would have to reapply for credit with the PPI removed...as per MSE this is incorrect, i then told them this in a letter and it has been going back and forth ever since. Anyway...have sent a copy of the latest letter and sent a complaint form to financial ombudsman...rang the FO today and the complaint is awaiting allocation of an adjudicator! Will keep you posted with the outcome....

next...
credit card charge reclaiming

Wow, fantastic, well done :T:j and Congratulations! :beer:

di3004

Supposed to be receiving a letter from an Adjudicator in regards of HFC, it was originally the insurer, but he confirmed the links, this was over a week ago, no letter received yet, but maybe in a few days time, will post up when we hear.;)

zorroo

I have just started to try and claim back my ppi payments sent first letter today.

But I’m still not sure how ppi payments work on credit cards

If anyone can help I would be grateful.


As I think it works is:

Amount on credit card multiplied by ppi rate per 100 = ppi premium.

Ppi premium taken by Credit Card Company and sent to insurance company.

Ppi premium added to credit card balance.


If this is correct what type of payment is it?
Direct Debit??
Card recurring transaction??

Or is it that the bank that issues the credit card is also the insurance company?

di3004

zorroo wrote: »

I have just started to try and claim back my ppi payments sent first letter today.

But I’m still not sure how ppi payments work on credit cards

If anyone can help I would be grateful.


As I think it works is:

Amount on credit card multiplied by ppi rate per 100 = ppi premium.

Ppi premium taken by Credit Card Company and sent to insurance company.

Ppi premium added to credit card balance.


If this is correct what type of payment is it?
Direct Debit??
Card recurring transaction??

Or is it that the bank that issues the credit card is also the insurance company?

Hi there

I am not good at working out calculations to be honest, but there are a few on here who are and I am sure they will be along soon to have a looksie for you, I understand it may differ to that of a loan ppi in regards of the interest, but just to give you an idea until someone comes along check on how the FOS calculates refunds here:
https://forums.moneysavingexpert.com/discussion/1596473

Hope this gives you some idea until this is worked out for you, good luck.;)

amersall

robbedofmymoney wrote: »

the calculations for the compound and 8% simple interest are carried out seperately.

following the FOS guidlines you will get compound interest refunded to you that was applied to your premiums.

then you will get the 8% simple on any amount where your account would have been in credit once your premiums and compound interest have been removed. it sounds comlicated and unfortunately it is.

this is how the FOS would carry out the calculation to put the account back into the position as if the ppi had not been added in the first place.

the 8% simple is applied slightly differently to credit card ppi. as unless it is actually paid, the FOS say you have not been deprived of this money.

so when they refund you the premiums plus the compound unless this puts your account in credit you will not get much in the way of 8% compensation.

please see the following link https://forums.moneysavingexpert.com/discussion/1596473

i hope this helps, the credit card company should give you a full itemised statement when they send you an offer, this is when its best to check the figures.

hi zorroo does this help?