We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

How FOS Calculate Refunds

Options
13468943

Comments

  • kharte2010 wrote: »
    im lost to be honest i paid 571 i think up front as part of the loan of 2000 total credit 2571.65 to which i am paying 168.00 for 48 months last loan payment will be aug 1st 2010 total repayment will be 4571.65 (yea i know ouch but its welcome finance but it was needed at the time) i dont really get how to work out what i should get as a refund is it simply 571.65 +8% interest or am i really missing the point

    can anyone please help

    hi,

    i am struggling to get the numbers to stack up,

    if you made 48 payments of £168 then thats over £8k, not 4571

    please can you confirm the numbers and any breakdowns you have

    cheers
    I'm proud to say that the banks no longer take money from me after becoming debt free
  • kharte2010
    kharte2010 Posts: 42 Forumite
    sorry it was 24 payments of 168.00 the loan was 2000 over 2 years sorry my typo i paid 571.36 on to the loan at the start for ppi

    any thing just let me know
  • kharte2010 wrote: »
    sorry it was 24 payments of 168.00 the loan was 2000 over 2 years sorry my typo i paid 571.36 on to the loan at the start for ppi

    any thing just let me know


    i will need ot make an assumption as you don't show the monthly ppi payment

    so if i take the 571 premium as a percentage of the total loan + ppi it equates to 22%

    so approx 22% of your monthly premium will be attributed to ppi and interest that was applied

    so 22% of 168 = 36.96

    so your total ppi refund would follow the FOS guidlines of refunding you the ppi premiums and interest paid,

    24 X £36.96 = £887.04

    you will then get 8% simple interest on this 887, this is applied to each and every payment you made from the time you made it to the time of settlement/refund

    8% simple on this is approx £74

    so total refund of approx 887 + 74 = £961

    this is based on my rough assumption of monthly ppi premium with interest, if you have a definate figure let me know what it is.
    however, these figures will not be too far out.
    I'm proud to say that the banks no longer take money from me after becoming debt free
  • kharte2010
    kharte2010 Posts: 42 Forumite
    great thanks i don't have a break down of what each monthly payment covers but you have given me a guide as to what id get and il see when the settlement comes in what welcome offer
  • lush1
    lush1 Posts: 35 Forumite
    Tenth Anniversary 10 Posts Combo Breaker
    1874.70 paid to customer
    4125.30 re financed ( please note had no ppi on previous loan)
    309.00 ins
    115.00 arrangement fee
    total 7781.52
    apr 23.2% 24 monthly payments of 324.23 from 1/07/2006

    citi have offered me 309.00 plus 80.14 interest is this correct??
  • di3004
    di3004 Posts: 42,579 Forumite
    lush1 wrote: »
    1874.70 paid to customer
    4125.30 re financed ( please note had no ppi on previous loan)
    309.00 ins
    115.00 arrangement fee
    total 7781.52
    apr 23.2% 24 monthly payments of 324.23 from 1/07/2006

    citi have offered me 309.00 plus 80.14 interest is this correct??


    Hi there and well done.:beer:

    I'm sure Robbedofmymoney will check this over for you at some point today, good luck.;)
    The one and only "Dizzy Di" :D
  • alfie26
    alfie26 Posts: 95 Forumite
    PPI Party Pooper
    could someone help me with calculations please and make a old man very happy.. i have tried but cannot work it out :mad::mad: i took this loan out on 9/3/2004, i made 12 payments and cleared the loan on 24/3/2005

    loan; £11,565.75
    ppi;£2,611.39
    total loan £14,177.14

    monthly payments;£317.07 including ppi of £58.41

    cleared the loan after making 12 monthly payments .

    the early settlement figure was £10,630.41.
    i recieved a ppi rebate of £1,581.20

    thanks in advance
  • marshallka
    marshallka Posts: 14,585 Forumite
    alfie26 wrote: »
    could someone help me with calculations please and make a old man very happy.. i have tried but cannot work it out :mad::mad: i took this loan out on 9/3/2004, i made 12 payments and cleared the loan on 24/3/2005

    loan; £11,565.75
    ppi;£2,611.39
    total loan £14,177.14

    monthly payments;£317.07 including ppi of £58.41

    cleared the loan after making 12 monthly payments .

    the early settlement figure was £10,630.41.
    i recieved a ppi rebate of £1,581.20

    thanks in advance
    Hi, how long was the loan over?
  • alfie26
    alfie26 Posts: 95 Forumite
    PPI Party Pooper
    sorry 60 months
  • marshallka
    marshallka Posts: 14,585 Forumite
    Hi Alfie26, I make it that you would get back the 12 x 58.41 = £700.92 and should have settled (calculated this rule 78 as the old regs were in force when your loan was taken out) for the loan without PPI about £9927.31 so you have overpaid at settlement cause of the PPI by £703 so added together make about £1400 due back (cannot work it to the penny though). I have calculated both your loan and your PPI seperately using rule 78 calculator and if you add both settlements together and take away the PPI rebate they come to about £10587 which is not too different from your actual settlement.

    Hope they are also paying you 8% statutory interest on this amount.

    I will ask for robbedofmymoney to take a look too but that is my understanding from what I can see.

    Hope it helps
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 351K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.6K Spending & Discounts
  • 244K Work, Benefits & Business
  • 598.9K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.3K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.