need help for reclaiming ppi from ltsb

lisa_kupiec

hi i would appreciate any advice from anybody. we took aut a loan from ltsb in 2005 for £17,800 ins was 2,285.08 + interest. it was in my partners name who was self employed at the time.we have sent a letter to ltsb. when we ran into financial difficulties we passed the debt onto a debt management company and they told us to ring and cancel the ins as it would eat up any money we were paying off the loan, i was told by ltsb i could not cancel the policy. hence i sent them a letter about being missold the policy they have sent a letter back saying that he was covered for selfemployment and that they do allow people to cancel their policies. their letter also said "our records show you cancelled your policy on 28th august 2008 and repaid your outstanding loan having received a rebate in line with the terms of your agreement with lloydstsb. you were not therefore required to take another agreement . i am afraid i must therefore reject your complaint". i dont know what this means because we are still paying the loan through our debt management. they then go on to say "when you settled your loan you were given a rebate of £1,198.17 this was used to reduce your settlement figure. a pro rata rebate would of been £1,694.47 we would like to offer you £526.90 as a good will gesture". i am really confused. can any one help Lisa

di3004

lisa_kupiec wrote: »

hi i would appreciate any advice from anybody. we took aut a loan from ltsb in 2005 for £17,800 ins was 2,285.08 + interest. it was in my partners name who was self employed at the time.we have sent a letter to ltsb. when we ran into financial difficulties we passed the debt onto a debt management company and they told us to ring and cancel the ins as it would eat up any money we were paying off the loan, i was told by ltsb i could not cancel the policy. hence i sent them a letter about being missold the policy they have sent a letter back saying that he was covered for selfemployment and that they do allow people to cancel their policies. their letter also said "our records show you cancelled your policy on 28th august 2008 and repaid your outstanding loan having received a rebate in line with the terms of your agreement with lloydstsb. you were not therefore required to take another agreement . i am afraid i must therefore reject your complaint". i dont know what this means because we are still paying the loan through our debt management. they then go on to say "when you settled your loan you were given a rebate of £1,198.17 this was used to reduce your settlement figure. a pro rata rebate would of been £1,694.47 we would like to offer you £526.90 as a good will gesture". i am really confused. can any one help Lisa

Hiya Lisa

This does seem rather confusing doesn't it?

At first you were told you could not cancel then you could cancel.
It seems rather mis leading if you ask me.

Did they actually send you a "full written breakdown of calculations" which shows how they calculated this right down to the end of the settlement, or just figures like you have posted above?

So what they done was reduced the settlement but not directly paid you direct? Is that correct?

I understand you state your on a DMP, but it maybe worth you requesting for a Subject access request (SAR) they should send everything on the account the last 6 years, where they should provide what is what with the loan and the insurance.
However, there is a charge of £10 for this payable by either cheque or postal order payment, link to SAR template below.
They have 40 days to comply.
http://forums.moneysavingexpert.com/showthread.html?t=1475553

If the SAR is required for both of you - you would have to pay individually with the SAR request.

Or ask if they can kindly post the breakdown within 10 days, remember as you know to post everything by recorded delivery.

I would see what comes back and if your not satisfied, ask the Financial ombudsman service to investigate this for you, good luck.;)

lisa_kupiec

these are the only figures they sent. but i dont understand how we have had a settlement if we are still paying the loan thanks Lisa

di3004

lisa_kupiec wrote: »

these are the only figures they sent. but i dont understand how we have had a settlement if we are still paying the loan thanks Lisa

Yes I see what you mean. I found it rather confusing as well.

So they do need to send an proper explanation on this matter.

If you do request a SAR this should hopefully disclose what is what on the paperwork, but I would at least write to ask them to send you a written breakdown in case anything is amiss, so you can see, just in case.;)

I know if this was with the FOS they do request for these finance companies now to send a written calculation of breakdown.
Good luck.

lisa_kupiec

thanks for all your help. do you think i should just take what they are offering and not push my luck

di3004

lisa_kupiec wrote: »

thanks for all your help. do you think i should just take what they are offering and not push my luck

Hi Lisa

The thing is with Lloyds they always offer the lowest possible amounts.

If that were me personally in my opinion I would go all the way, but I expect you may be aware that Lloyds rejects approx 95% of these complaints....where mainly the FOS will resolve them. But if you decide to go to the FOS it can be quite a wait, however they seem to be getting through complaints quicker than before since taking on new adjudicators, but it can still take some time.

Its entirely up to you, but hopefully if someone else comes along to work these figures out for you, as they may understand what Lloyds have done within the calculations, and see what they say about this.;)

Lisa read this link here to give you some idea about Lloyds:
http://www.thisismoney.co.uk/insurance/article.html?in_article_id=481259&in_page_id=4

And this paragraph here from the link:

Lloyds TSB, as the worst offender, insists that complaints are fairly handled, despite our evidence that almost all are thrown out. Barclays insists PPI provides 'valuable cover' to many of its customers while Northern Rock rejects the findings and says it would be 'inaccurate' to suggest the survey reflects its overall position on PPI.