PPI Reclaiming Discussion part 4

di3004

Wow that was quick Mel......:T

And me well, I have not got a clue......:o:D

marshallka

spoll wrote: »

Hi Guys,

It's been a long time since I last posted - on behalf of my parents who had a single premium PPI added to a loan by Norton Finance. Anyway, after rejecting a couple of offers from Norton we complained to the FSO and we recently heard that the FSO agree with us that my parents were mis-sold and we will hear from them within 14 days (this was a week or so ago so hopefully it will be this week).

I'm unsure what amount my parents could expect back so if anybody here is able to give me a rough idea that would be great...

Loan amount was £42,000 over 17years
Single Premium PPI was £10,285

8 repayments made before settling loan (of this monthly payement £90.37 was made up of PPI)

Total amount payable was £90,211
Early settlemenyt rebate was £40,886 (includnig PPI rebate of £3020)
Total settlement payable was £49,475
Total price of insurance was £18,435 (if loan went full term)

From what I've read my parents should be put back into the position they would have been if they had not taken the PPI (plus 8% interest?) but I'm not sure if I should be using the initial cost of the PPI minus rebate (£10,285 - £3020) or the total cost of the insurance minus the rebate (£18,435 - £3020).

Thanks for any help on this and also thanks to those that helped way back when I was trying to track down which 'branch' of Norton I should be complaining to.

Spoll

Wow spoll, this was one case that stuck in my mind cause the FOS told you that Norton Finance were not within their jurisdiction didn't they even though this loan was after regulation and you had to resubmit cause we found that Norton were appointed reps of Norton Insurance services and so glad they took this one on. :T
Basically you would get back whatever you paid against the insurance and if the loan was settled this would be insurance part of the repayments made and then whatever you had to pay against the insurance when settling the loan early. Its difficult to work out without a breakdown of the interest on the rebate but you have won and that is all that matters. Whatever you have paid that was towards the insurance being payments, interest is refunded and 8% statutory interest on top.

Well done.:T

di3004

Wow, you were quick as well Marshallka writing all that, glad both you and Mel came along when you did.....:T:T;).

spoll_2

marshallka wrote: »

Wow spoll, this was one case that stuck in my mind cause the FOS told you that Norton Finance were not within their jurisdiction didn't they even though this loan was after regulation and you had to resubmit cause we found that Norton were appointed reps of Norton Insurance services and so glad they took this one on. :T
Basically you would get back whatever you paid against the insurance and if the loan was settled this would be insurance part of the repayments made and then whatever you had to pay against the insurance when settling the loan early. Its difficult to work out without a breakdown of the interest on the rebate but you have won and that is all that matters. Whatever you have paid that was towards the insurance being payments, interest is refunded.

Well done.:T

Thanks Marshalka and di3004 for you help/support when I first posted on this at that start of last year - the champagne is on ice until I see it in writing but FOS have verbally told my Dad on phone they believe he was mis-sold. I've just got back from honeymoon so it really was great news to come home to.

Yeah there were issue about who we were claiming against at the start but thanks to your research we managed to track down the right one

I agree it's difficult to work out what the amount will be - when we get any details I'll post for you guys to take a look at. I'm trying not to tempt fate until I physically see it in writing but curiosity got the better of me hence the post!

Thanks again,

Spoll

di3004

spoll wrote: »

Thanks Marshalka and di3004 for you help/support when I first posted on this at that start of last year - the champagne is on ice until I see it in writing but FOS have verbally told my Dad on phone they believe he was mis-sold. I've just got back from honeymoon so it really was great news to come home to.

Yeah there were issue about who we were claiming against at the start but thanks to your research we managed to track down the right one

I agree it's difficult to work out what the amount will be - when we get any details I'll post for you guys to take a look at. I'm trying not to tempt fate until I physically see it in writing but curiosity got the better of me hence the post!

Thanks again,

Spoll

Hi Spoll

Your very welcome hun.;)

We are just happy to know this have been finally resolved, and remember you had a part in this as well, by helping your parents, so well done to you as well.:T:T.

Yes please do post up when you know and I'm sure the amounts will be checked over for you.

Again Well done and Congratulations.:T:beer::T

marshallka

spoll wrote: »

Thanks Marshalka and di3004 for you help/support when I first posted on this at that start of last year - the champagne is on ice until I see it in writing but FOS have verbally told my Dad on phone they believe he was mis-sold. I've just got back from honeymoon so it really was great news to come home to.

Yeah there were issue about who we were claiming against at the start but thanks to your research we managed to track down the right one

I agree it's difficult to work out what the amount will be - when we get any details I'll post for you guys to take a look at. I'm trying not to tempt fate until I physically see it in writing but curiosity got the better of me hence the post!

Thanks again,

Spoll

I mentioned you a couple of weeks back on here as I remembered about the trauma you had at FOS the first time you sumbitted. There are others on here getting thrown out by FOS by FOS saying they did not have jurisdiction of Norton Finance until 2007. I have said about what we found out about yours. Hope you don't mind and so glad that all worked out in the end. Have a champers for me my friend. I bet your mum and dad are so pleased.

Enjoy the rest of the honeymoon. :beer::beer::j

cavesy

Apologies if this is in the wrong forum. Does anyone have contact details for Essential Loans ? I took a loan out with them in 2005. I believe they were based in the Midlands but appear to no longer be in existance.

di3004

cavesy wrote: »

Apologies if this is in the wrong forum. Does anyone have contact details for Essential Loans ? I took a loan out with them in 2005. I believe they were based in the Midlands but appear to no longer be in existance.

Hi there found these on the FSA register, however it states its no longer authorised, that's if its the same business.

352 Birmingham Road
Lickey End
Bromsgrove
Worcestershire
B61 0HJ



44 01527 882 200
44 01527 575 669
[EMAIL="Julie@EssentialLoans.com"]Julie@EssentialLoans.com[/EMAIL]
www.essentialloans.com

If they are no longer running, some other company may have taken over, ring that tel number and they should confirm this, otherwise if they dissolved, you could contact The Financial Compensation Scheme (FSCS) to ask if they are listed with them, if they are you can out a claim in through them.
http://www.fscs.org.uk/contacts/

Please let us know if you can, so we can help you further, and if youn require help with reclaiming.

di3004

This have been posted up a while back, but added more details as found in my paperwork in regards of Endeavour/Click


Anyway, an overall explanation of the loan taken out in July 2004
Settled by Nov 2005.

(loan was secured over 25), and calculated using the Rule of 78.

On the credit agreement
Loan £21,000
PPI £2,835
Total to pay with interest future charges = £23,835.00
300mths APR 9.9%

Settled at £23,646.04 that is including a rebate already deducted at £1,533.69.

I have worked out £26,565.18 have been paid into this loan altogether in total, this includes the monthly repayments made until settlement, and the setttlement figure as shown as settled amount above.

This is on the paperwork:

184.23 X 14 = £2579.22 (loan repayment)
24.28 X 14 = £339.92 (insurance repayment).
This totals = £2919.14

They have calculated by 14 months, but loan was from July, so the first repayment was made the following month of August 04, so 14 months to October 2005 its been calculated to - to settlement.

So

£2919.14 (of what I already paid in without settlement)
With Settlement of
"£23,646.04".

If you add The settlement of £23,646.04 and £2919.14, the total amount actually paid into this loan is:
£26.565.18.

Another way they have shown is this way =
Amount borrowed in total = £23,835.00
£208.51 x 300 - £23,835.00 = £38,718

They explain that the total cost of the loan would be calculated by multplying the montly instalment by the term of the loan and deducting the original amount borrowed.

Interest was not added as an upfront amount but was charged on a daily basis on the balance of total loan amount and debited to the account monthly.

marshallka

di3004 wrote: »

This have been posted up a while back, but added more details as found in my paperwork in regards of Endeavour/Click


Anyway, an overall explanation of the loan taken out in July 2004
Settled by Nov 2005.

(loan was secured over 25), and calculated using the Rule of 78.

On the credit agreement
Loan £21,000
PPI £2,835
Total to pay with interest future charges = £23,835.00
300mths APR 9.9%

Settled at £23,646.04 that is including a rebate already deducted at £1,533.69.

I have worked out £26,565.18 have been paid into this loan altogether in total, this includes the monthly repayments made until settlement, and the setttlement figure as shown as settled amount above.

This is on the paperwork:

184.23 X 14 = £2579.22 (loan repayment)
24.28 X 14 = £339.92 (insurance repayment).
This totals = £2919.14

They have calculated by 14 months, but loan was from July, so the first repayment was made the following month of August 04, so 14 months to October 2005 its been calculated to - to settlement.

So

£2919.14 (of what I already paid in without settlement)
With Settlement of
"£23,646.04".

If you add The settlement of £23,646.04 and £2919.14, the total amount actually paid into this loan is:
£26.565.18.

Another way they have shown is this way =
Amount borrowed in total = £23,835.00
£208.51 x 300 - £23,835.00 = £38,718

They explain that the total cost of the loan would be calculated by multplying the montly instalment by the term of the loan and deducting the original amount borrowed.

Interest was not added as an upfront amount but was charged on a daily basis on the balance of total loan amount and debited to the account monthly.

Was there any rebate of "interest" when you settled?

Also you would not have paid much at all off of the actual 21K loan as you had it over a large number of months and each repayment would be captital and interest. This would mean that each repayment against the loan of 184.23 would have been a lot of interest and not much capital. (roughly here £70 off the capital each month totalling 980). So you would still have owed about 20000 odd even after paying 14 months regardless of PPI being included or not and then a couple of months interest (if done by new method) at settlement.

I don't know how to work settlement interest out either and also how your settlement was done. It does not work out it was done rule of 78 according to the calculators. You just need to get the complaint in really and take it from there.

You would be due back the 14 repayments made against the PPI being £339.92 and then how ever much of the settlement figure was towards the PPI. You can roughly do it was about £3k odd.

What are you doing about it now. Why do you need all the info again? I thought you were sending the complaint back again. You won't need figures to send to FOS.