PPI Reclaiming Discussion part 4

dazjam

Firstplus

Hi I'm wondering if anyone can help us , we took out a Firstplus loan approx 11 months ago, it is set out repayments for loan £515 and for PPI £102 per month. As we are currently suffering financial difficulty we thought that we would cancel the PPI and save £102 per month but when we asked to cancel this they sent us correspondence saying our new repayment would be instead of £618 now £592 only saving us £26.We rang and asked them but they said that they pay the insurance upfront first and therefore only pay back a quarter of the value of the PPI, we were unaware of this when we took out the loan.
Is this correct or have we any right of complaint.
Thanks
Jim

di3004

dazjam wrote: »

Firstplus

Hi I'm wondering if anyone can help us , we took out a Firstplus loan approx 11 months ago, it is set out repayments for loan £515 and for PPI £102 per month. As we are currently suffering financial difficulty we thought that we would cancel the PPI and save £102 per month but when we asked to cancel this they sent us correspondence saying our new repayment would be instead of £618 now £592 only saving us £26.We rang and asked them but they said that they pay the insurance upfront first and therefore only pay back a quarter of the value of the PPI, we were unaware of this when we took out the loan.
Is this correct or have we any right of complaint.
Thanks
Jim

Hiya Jim

It does not come down much does it?

You have been sold an insurance that covers you for only 5 years, where your loan is probably over a longer period, so then your not covered afterwards, so personally I would go for mis selling.

Please read this link below and post back and let us know if any of the reasons occur to you, and we shall take it from there.;)
http://www.moneysavingexpert.com/reclaim/ppi-loan-insurance

We look forward to hearing from you X

marshallka

dazjam wrote: »

Firstplus

Hi I'm wondering if anyone can help us , we took out a Firstplus loan approx 11 months ago, it is set out repayments for loan £515 and for PPI £102 per month. As we are currently suffering financial difficulty we thought that we would cancel the PPI and save £102 per month but when we asked to cancel this they sent us correspondence saying our new repayment would be instead of £618 now £592 only saving us £26.We rang and asked them but they said that they pay the insurance upfront first and therefore only pay back a quarter of the value of the PPI, we were unaware of this when we took out the loan.
Is this correct or have we any right of complaint.
Thanks
Jim

If you were not explained this then I would make a complaint here for the misselling of the PPI. Can I ask though, did you use a broker or was it firstplus that sold the loan and PPI to you? If you used a broker then its the broker you make the complaint to for misselling.

di3004

marshallka wrote: »

If you were not explained this then I would make a complaint here for the misselling of the PPI. Can I ask though, did you use a broker or was it firstplus that sold the loan and PPI to you? If you used a broker then its the broker you make the complaint to for misselling.

I agree Marshallka.;)

dazjam

Thanks for you reply it was really helpful,as regards to the broker i am unsure if it was set up through a broker,but i have checked and found that there is only insurance covering myself not my wife,can i go ahead and claim?

di3004

dazjam wrote: »

Thanks for you reply it was really helpful,as regards to the broker i am unsure if it was set up through a broker,but i have checked and found that there is only insurance covering myself not my wife,can i go ahead and claim?

Yes you can, go for it, if they do not resolve this first time, you should be able to write back and ask them to reconsider, wait until you have the final response, they should give details of the financial ombudsman service (FOS) if elgible.;)

Good luck and remember recorded delivery for safer posting.