PPI Reclaiming Discussion part 4

ickle_me

Hi everyone

I wonder if anyone can provide advice on the thread I started re a close relatives PPI payments to Tesco.

This loan, which IIRC has 12mths or so left to run. He has had it for 5.5 years, and has not defaulted once. He pays for payment protection - but has been off long term sick for 6 years. He is still paid some of his wages through a income plan with his employer., hence how he can manage the monthly repayments.
I posted this up yesterday, and Rafter has kindly replied, but I worried about my relatives situation.
http://forums.moneysavingexpert.com/showthread.html?t=2270299

From what I can glean ( as his memory is affected by his illness) he took the loan out online, signed some paperwork and sent it back. He doesn't appear to have any of the paperwork in copies for himself, so I cant check re whether or not he had informed tesco of a pre standing medical condition. Am i right in thinking that if he had informed them he was ill when applying, they wouldnt have accpeted the loan app?? To be fair to him, when he applied he had been sick a few mths, and never dreamed it would turn into a long term thing:( Also he had (and sstill has) work place income protection on his salary, so he shouldnt need the ppi

I've tried to look on the tesco website but they dont offer ppi for new loans anymore, so i cant see any T&C's online for applcation requirements as such.

What also concerns me, is if we phone up and ask for copies, then make a ppi refund claim, can Tesco demand full payment in the loan?? there is about £5k left to pay off I think - and he wont be able to afford that if tesco gets the hump!!

Or should he just keep paying the ppi - even though he can never claim on it due to the pre existing medical condition?

Any advice on who I can help him, and how we proceed with this would be great - has anyone been in a similar situation?

TIA

maxdp

ickle_me wrote: »

Hi everyone

I wonder if anyone can provide advice on the thread I started re a close relatives PPI payments to Tesco.

This loan, which IIRC has 12mths or so left to run. He has had it for 5.5 years, and has not defaulted once. He pays for payment protection - but has been off long term sick for 6 years. He is still paid some of his wages through a income plan with his employer., hence how he can manage the monthly repayments.
I posted this up yesterday, and Rafter has kindly replied, but I worried about my relatives situation.
http://forums.moneysavingexpert.com/showthread.html?t=2270299

From what I can glean ( as his memory is affected by his illness) he took the loan out online, signed some paperwork and sent it back.
He doesn't appear to have any of the paperwork in copies for himself, so I cant check re whether or not he had informed tesco of a pre standing medical condition. Am i right in thinking that if he had informed them he was ill when applying, they wouldnt have accpeted the loan app?? To be fair to him, when he applied he had been sick a few mths, and never dreamed it would turn into a long term thing:( Also he had (and sstill has) work place income protection on his salary, so he shouldnt need the ppi

I've tried to look on the tesco website but they dont offer ppi for new loans anymore, so i cant see any T&C's online for applcation requirements as such.

What also concerns me, is if we phone up and ask for copies, then make a ppi refund claim, can Tesco demand full payment in the loan?? there is about £5k left to pay off I think - and he wont be able to afford that if tesco gets the hump!!

Or should he just keep paying the ppi - even though he can never claim on it due to the pre existing medical condition?

Any advice on who I can help him, and how we proceed with this would be great - has anyone been in a similar situation?

TIA

Hi

If he took it out on line Tesco Loans may well have automatically added the PPI which would have meant that he would have had to untick the box..

It would not necessarily have meant he would not have got the loan. If he has some income protection through his employer he may still have got the loan.

They will not ask him to pay the loan back if you try to claim the PPI back.

First of all ring them and just ask for copies of the original agreement and appllication form if they are not helpful you could then send a SAR letter to them ,a template is on the front page of this thread. Send off 10.00 by recorded delivery with the letter and give them 40 days to reply. They would then send you all copies of the agreement etc. You could then write to them using the template letters for reclaiming.

In the meantime you could cancel the PPI. What they will do is refinance the loan though because the PPI is all part of the original loan.

I hope this makes sense if not ask more questions.;)

tiggrae

ickle_me wrote: »

Hi everyone

I wonder if anyone can provide advice on the thread I started re a close relatives PPI payments to Tesco.

This loan, which IIRC has 12mths or so left to run. He has had it for 5.5 years, and has not defaulted once. He pays for payment protection - but has been off long term sick for 6 years. He is still paid some of his wages through a income plan with his employer., hence how he can manage the monthly repayments.
I posted this up yesterday, and Rafter has kindly replied, but I worried about my relatives situation.
http://forums.moneysavingexpert.com/showthread.html?t=2270299

From what I can glean ( as his memory is affected by his illness) he took the loan out online, signed some paperwork and sent it back. He doesn't appear to have any of the paperwork in copies for himself, so I cant check re whether or not he had informed tesco of a pre standing medical condition. Am i right in thinking that if he had informed them he was ill when applying, they wouldnt have accpeted the loan app?? To be fair to him, when he applied he had been sick a few mths, and never dreamed it would turn into a long term thing:( Also he had (and sstill has) work place income protection on his salary, so he shouldnt need the ppi

I've tried to look on the tesco website but they dont offer ppi for new loans anymore, so i cant see any T&C's online for applcation requirements as such.

What also concerns me, is if we phone up and ask for copies, then make a ppi refund claim, can Tesco demand full payment in the loan?? there is about £5k left to pay off I think - and he wont be able to afford that if tesco gets the hump!!

Or should he just keep paying the ppi - even though he can never claim on it due to the pre existing medical condition?

Any advice on who I can help him, and how we proceed with this would be great - has anyone been in a similar situation?

TIA

firstly do you have Power of Attorney for your relative, if not you'll need a letter of authority signed by him to allow you to work on his behalf.

Then as your relative was ill when he applied for the loan (ie pre existing condition) the PPI should not have been 'sold' to him (ie tesco's should have been in contact to ensure the product was suitable) your relative had good grounds for making a reclaim.

They won't request repayment of the outstanding amount, they should repay what has already been paid in PPI and knock off the remainder from the monthly premiums

mystfied_tigger

marshallka wrote: »

Hi as amersall says, if you have only been told you are having a rebate against the PPI you are not actually being redressed for a missale as such and you will still be charged a fair wack and would be surprised at just how much of a difference it is.
If you can post the figures from the agreement I can work out what you have paid against the PPI to date and also what the whole PPI would have been over the term of the loan. I take it this loan is ongoing??

Hi Marshalka - thanks for your post. Just checked the paperwork and the loan was for £70,000 the PPI was £17,143 at I had to pay £150.61 for the PPi and £615.01 for the loan ie a total of £765.62 per month but obviously this has increased as they have continued to raise the interest rates!

The loan was for 204 months so still a long time to go (it was taken out in April 2006).

The offer for £9,000 is from Capital Finance as the loan was arranged through them - I haven't been in touch with Firstplus at all yet.

I didn't want the insurance in the first place so really wanted to be back into the position that I would have been if I hadn't had the PPI at all as I think that would be better financially than getting the lump sum for the PPI at the end of the five years - but can I just ask Firstplus to do that? Or will they penalise me in some way? I am up to date with all the loan payments.

If you could give me some advice on the options and what I could or could not expect that would be brilliant.

Many thanks

mystfied_tigger

amersall wrote: »

hi there mt, the 5 year payout would be the original ppi amount, if you pay this back to your loan you will reduce the balance of your loan by that amount, you will still be paying the interest and ppi for the remainder of the loan, and you will need to get a cancellation figure now to see what you will have taken off your loan, your monthly payment will reduce and you wont be paying an extra 15 mths of full ppi, does this make sense? no one can tell you what to do but you have to decide the best thing for you in the long term, when marshalka comes on you will get more help with this.oh and by the way first plus are defo not to be trusted, period!! take a look at this website firstpluscomplaints.co.uk this site is just for people with a fp loan, a great guy has set this up, take a look and you will have your eyes well and truly opened. they may also be able to give advice to you for your situation. good luck

Hi there Amersall thanks for the reply. I had a post from Marshallka and have given the details that she asked for to try to help me - I will have a look at the site you mention re Firstplus to see what people there have experienced too, it all feels like such a nightmare that it is difficult to think straight about this mess!

ickle_me

Thanks Max & Tiggre... will get him to phone Tesco tomorrow, and will go from there.

Will let you know how it goes!! Thanks again:beer:

di3004

ickle_me wrote: »

Thanks Max & Tiggre... will get him to phone Tesco tomorrow, and will go from there.

Will let you know how it goes!! Thanks again:beer:

Good luck, please let us know what they say if you don't mind, cheers and fingers crossed.:beer:

marshallka

mystfied_tigger wrote: »

Hi Marshalka - thanks for your post. Just checked the paperwork and the loan was for £70,000 the PPI was £17,143 at I had to pay £150.61 for the PPi and £615.01 for the loan ie a total of £765.62 per month but obviously this has increased as they have continued to raise the interest rates!

The loan was for 204 months so still a long time to go (it was taken out in April 2006).

The offer for £9,000 is from Capital Finance as the loan was arranged through them - I haven't been in touch with Firstplus at all yet.

I didn't want the insurance in the first place so really wanted to be back into the position that I would have been if I hadn't had the PPI at all as I think that would be better financially than getting the lump sum for the PPI at the end of the five years - but can I just ask Firstplus to do that? Or will they penalise me in some way? I am up to date with all the loan payments.

If you could give me some advice on the options and what I could or could not expect that would be brilliant.

Many thanks

Hi, you would still have to go through the broker for any kind of complaint about the misselling of the PPI anyway as Firstplus would just pass it over.

As you mention about the cashback after 5 years, this is only the amount of the PPI policy and does not include the interest charged. Your total PPI would have been 204 x 150.61 = £30724.44 so there is a hell of a difference.

If you want to be put back into the position as if you never had the PPI then I would refuse the offer and get the complaint into FOS if they do not see things your way by writing to them again. It is your choice of course but what they have offered (if it is only £9000) is not what your PPI redress would be for misselling. As this was taken out in 2006 you will be OK to use FOS.

Hope you make the right decision for you. Good luck

leigh83

I have just had a letter back from HSBC, they said that they are still investigating my claim which can take upto 8 weeks. At the end of their letter they have put that they think I was refunded my PPI when I paid my loan in 2007. I have no documents regarding my loan and when I originally requested the documents before Christmas they told me they would not be able to supply me with the information as the loan was now finalised.
My question is ...... do i now just sit tight and wait for them to investigate further, or should i write to them again asking them to prove it has been refunded?

di3004

leigh83 wrote: »

I have just had a letter back from HSBC, they said that they are still investigating my claim which can take upto 8 weeks. At the end of their letter they have put that they think I was refunded my PPI when I paid my loan in 2007. I have no documents regarding my loan and when I originally requested the documents before Christmas they told me they would not be able to supply me with the information as the loan was now finalised.
My question is ...... do i now just sit tight and wait for them to investigate further, or should i write to them again asking them to prove it has been refunded?

Hi there

I would ask them to send you any information in written details of calculations of the loan you completed in 2007, do they mean just the rebate perhaps and not refund as such?

Contact them in writing and request for your details of this loan, the only other way is to request a Subject Access Request (SAR) which you pay for as in £10 postal order of cheque payment and they have 40 days to comply, however this way they should send ALL they still hold on you.

It may be worth requesting first though if they are able to send the details of this loan free of charge.

But otherwise request a SAR if you have to, template SAR letter on the link here:
http://forums.moneysavingexpert.com/showthread.html?t=1475553

Please let us know how you get on, good luck.