PPI Reclaiming Discussion part 4

marshallka

lucieloo wrote: »

thanks i will carry it through now i have spoken to you. i will keep you updated and thank you very much.

Well done for continuing and keep us posted.;)

mystfied_tigger

Hi there - I hope someone can help advise me what to do. I wrote to Central Finance in October to say that the PPI had been mis-sold, after a holding letter at the beginning of January they have now written to say that they 'refute my specific allegations' but that 'having reviewed the sale of PPi they believe that the explanation of the non-proportiate rebate was somewhat confused' so my complaint about the sale of PPI should be partially upheld. They have said 'having completed my investigations, I am frankly disappointed in the service you have received. This is well below the acceptable standards expected by Central Trust. As a company that prides itself on world class service, I am at a loss to explain this unusual lapse in service standards'. They have offered me an ex-gratia offer of a pro-rata rebate on the PPI premium of £4,285.

I am at a loss over what to do - the PPI was £17,143, loan was £70,000, monthly payment for PPI was £150.61, and for the loan was £615.01 (when it was first taken out in 2006). The amount that they have offered seems very much below the amount of PPI that was added to the loan and possibly lower than the amount I have paid for it so far.

I am also confused about whether this means that the insurance would be cancelled and the payout for not having claimed in the 5 year period would no longer be possible?

Any advice that could be offered would be very gratefully received.

Thank you!

marshallka

mystfied_tigger wrote: »

Hi there - I hope someone can help advise me what to do. I wrote to Central Finance in October to say that the PPI had been mis-sold, after a holding letter at the beginning of January they have now written to say that they 'refute my specific allegations' but that 'having reviewed the sale of PPi they believe that the explanation of the non-proportiate rebate was somewhat confused' so my complaint about the sale of PPI should be partially upheld. They have said 'having completed my investigations, I am frankly disappointed in the service you have received. This is well below the acceptable standards expected by Central Trust. As a company that prides itself on world class service, I am at a loss to explain this unusual lapse in service standards'. They have offered me an ex-gratia offer of a pro-rata rebate on the PPI premium of £4,285.

I am at a loss over what to do - the PPI was £17,143, loan was £70,000, monthly payment for PPI was £150.61, and for the loan was £615.01 (when it was first taken out in 2006). The amount that they have offered seems very much below the amount of PPI that was added to the loan and possibly lower than the amount I have paid for it so far.

I am also confused about whether this means that the insurance would be cancelled and the payout for not having claimed in the 5 year period would no longer be possible?

Any advice that could be offered would be very gratefully received.

Thank you!

Hi, personally I would certainly not accept this amount as all they are doing is cancelling the PPI and giving you a rebate against the PPI premium BUT not against the interest that would be charged on the PPI. If you had carried the PPI on then yes, you would be entitled to a cash back of the policy I assume (from what you say) and yes, it would now be cancelled so you have lost out again. This would only be cashback though again of just the premium and not all the interest charged on the premium which is charged over the whole term of the loan. Also I doubt that your premium covers anything other than the first 5 years of your loan.

I personally would write back and state you are not accepting and that you are now going to take the complaint to FOS for them to adjudicate. If this is upheld you will get all the PPI and interest charged on the PPI also back and 8% statutory interest on top. What they have offered is pittance to what you are due. I also doubt that this amount would actually be paid over to you either and would just be used to reduce the balance of your loan and a new loan drawn up to reflect this.

mystfied_tigger

Hi thank you for the advice, I knew someone on the site could help.

The offer letter that I have had asks for my bank details to refund me with the £4,285. If the FOS adjudicate and find in my favour, why would the money only be offset against the loan - would I get any money back for the payments that I have made for the PPI?

tiggrae

lucieloo wrote: »

i am addicted to this site i think its brilliant but after a lot of reading and due to me having loans from first plus in 2001 & 2002 i dont think im going to persue this as it was not goverened by the fsa. so good look all in your ppi claims.

all you've got to lose is the price of the stamp - even if the fos can't look at the first loan you could still claim for a low rebate when you redeemed your loan early - this is with the underwriters for an unfair contract term

marshallka

mystfied_tigger wrote: »

Hi thank you for the advice, I knew someone on the site could help.

The offer letter that I have had asks for my bank details to refund me with the £4,285. If the FOS adjudicate and find in my favour, why would the money only be offset against the loan - would I get any money back for the payments that I have made for the PPI?

Hi, if you won through the FOS then you would get back all the PPI you have paid to date and 8% statutory interest on top and the rest of the PPI owing would be taken from the remaining balance of the loan and usually a new loan drawn up to reflect with lower repayments. You would be put back into the position as if you never had the PPI.

As they have offered you the repayment by cheque in their letter and its actually "a rebate" I am confused by this as usually an enhanced rebate is when the PPI has already been cancelled a new loan drawn up and the enhanced rebate is then used to reduce the balance of the new loan?? Did this happen with you and who cancelled the PPI, you or them? Usually a rebate is used to reduce your loan balance and is NOT repaid to you. If they are repaying to you all the PPI that you have paid to date then usually this paid over to you but its not what they have stated.

Good luck if you go this way but it is your call.:cool:

mystfied_tigger

Hi marshallka

I will write back to Central Finance as you suggest to say that I am not satisfied with their offer and that I am going to take it to FOS, but should I wait to hear back from Capital Finance or write to FOS at the same time?

Sorry for all the questions, this whole thing feels like a bit of a nightmare to try to work your way through!:o

tiggrae

mystfied_tigger wrote: »

Hi there - I hope someone can help advise me what to do. I wrote to Central Finance in October to say that the PPI had been mis-sold, after a holding letter at the beginning of January they have now written to say that they 'refute my specific allegations' but that 'having reviewed the sale of PPi they believe that the explanation of the non-proportiate rebate was somewhat confused' so my complaint about the sale of PPI should be partially upheld. They have said 'having completed my investigations, I am frankly disappointed in the service you have received. This is well below the acceptable standards expected by Central Trust. As a company that prides itself on world class service, I am at a loss to explain this unusual lapse in service standards'. They have offered me an ex-gratia offer of a pro-rata rebate on the PPI premium of £4,285.

I am at a loss over what to do - the PPI was £17,143, loan was £70,000, monthly payment for PPI was £150.61, and for the loan was £615.01 (when it was first taken out in 2006). The amount that they have offered seems very much below the amount of PPI that was added to the loan and possibly lower than the amount I have paid for it so far.

I am also confused about whether this means that the insurance would be cancelled and the payout for not having claimed in the 5 year period would no longer be possible?

Any advice that could be offered would be very gratefully received.

Thank you!

when did you first take out the loan - can you remember the actual month in 2006, what was the loan term and have they offered to reduce your monthly repayments?

lucieloo

tiggrae wrote: »

all you've got to lose is the price of the stamp - even if the fos can't look at the first loan you could still claim for a low rebate when you redeemed your loan early - this is with the underwriters for an unfair contract term

thanks. who would do this the fos? or is this something i would have to adress?

tiggrae

lucieloo wrote: »

thanks. who would do this the fos? or is this something i would have to adress?

no it's something you would have to make a complaint about