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Does my letter make sense?
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[Deleted User]
Posts: 0 Newbie
Hello,
I started an earlier thread, but actually I wasn't very clear in my postings in it so have started this one afresh to make more sense.
I believe I am entitled to claim mis-sold PPI on a graduate loan I took out with Barclays, but my case is a little more complicated because:
- I've already received a partial refund of PPI after an earlier complaint
- I don't have a copy of the original agreement and the bank can't find it
- In order to remove the PPI, a new loan had to be taken out and I have a suspicion (although can't yet prove it until I get original agreement) that the terms of the new loan were inferior to those of the old loan (which is against some sort of rules, I understand).
I've attached my letter below and wondered if anyone could comment on whether it makes sense or needs changing? I really would appreciate your advice as I'm so utterly confused and stressed out by all of this I just don't know where to turn.
In particular, can I ask you MSErs:
- If the PPI was applied to a graduate loan - and because I was still a student when I applied and accepted - does this set of circumstances indicate that I definitely WAS mis-sold (e.g. I was sold a policy giving me protection from redundancy/unemployment, when I wasn't employed at the time). Does the fact that this was a 'graduate' loan make any material difference than had it been a personal loan, for example? I'm assuming - perhaps incorrectly - that it's a pretty clear case of mis-selling as it's impossible for student to be at risk of redundancy, right?
Anyway, here's my letter - do you think it makes sense?
Dear Sir or Madam,
I am writing to obtain information and clarity regarding an unsecured Barclays Graduate Loan that I took out in 2005, but for which the bank are unable to provide me with details for. In doing so, I am writing to request a refund of all PPI for the duration of the loan.
Before going into the specifics – which are quite complicated and confusing – it probably makes more sense to outline my questions so that these can be borne in mind when going through the detail:
-Was PPI applied to my original graduate loan?
-If so, how much was the PPI (total) and how much was paid?
-Was this PPI refunded – in whole or in part – when the superseding graduate loan took effect?
-Were the terms of the second graduate loan different to the terms of the first?
Here are the specific details of my letter:
In April 2005 (approximately) I visited the Sidney Street (Cambridge) branch of Barclays and made an application for a Graduate Loan with a graduate advisor. The amount requested was £10,000 and this was duly approved.
At the time, PPI was applied to the loan although I did not request it – and nor did it offer me any protection above and beyond any existing insurances I had at the time.
When I applied for the graduate loan, I was informed of my acceptance over the telephone and was told that forms and paperwork would be sent out by post. Eight months later, I had not received any paperwork so it wasn’t until January 2006 that I discovered that PPI had been applied. It was at this stage that I took action to stop paying it.
From January 2006 to March 2006 I made a series of visits to the Smithfield branch of Barclays (close to where I worked) to discuss the PPI on my loan. During these visits I dealt with XXXXX, which saw a subsequent complaint that was dealt with by XXXXX, Customer Relations Manager.
In visiting XXXXX, I was advised that in order to remove the PPI I would need to close the original Graduate loan and take out a new way, without the PPI. This new loan was approved and was opened on 28th March 2006 – and the old loan was closed.
As part of my original complaint, XXXXX organised a refund all of PPI paid between 16th January 2006 and 28th March 2006; this totalled £307.49. This corresponded to the time between the date I first visited the branch to try and cancel the PPI – and the expiry of the original loan.
I now understand that I am legally entitled to reclaim ALL PPI for the duration of the original loan as I was mis-sold the policy on the following grounds:
-That I was unemployed (a student) when I took out the policy and your staff were fully aware of this (it was a graduate loan application, made pre-employment)
-That I paid a single premium for the policy but did not see it through to the end of its initial term after cancelling the insurance before the end of my loan agreement
-That your salesperson implied that taking out the policy would assist my credit application
-That your salesperson was forceful in selling the policy and made me feel like I couldn’t say no
-That your salesperson did not give me full information on what the policy would cover (for example, I was a student at the time and did not start work until September 2005 – so any cover for redundancy, loss of earnings would be futile)
Today, I visited the Oxford Circus branch (just opposite my office) to obtain the following information:
-Original credit agreement for the graduate loan commencing April 2005
-Figures for how much PPI was paid between April 2005 and April 2006
-An understanding of exactly what happened when the new loan superseded the old one
Unfortunately, in spite of an extensive search of the system, the personal banker (XXXXX) showed me details on my accounts on screen and there was no evidence of the original graduate loan existing, despite all my other previous and subsequent agreements displaying .
Therefore, I am writing to you with the hope you will be able to provide me with answers to the questions above.
I would also request a refund of all premiums – taking into account the previous refund of £307.49, of course – and subsequent interest paid on those premiums, that I paid for the duration of the original loan. As I believe I have been deprived of this money I also expect 8% statutory interest – the amount a court would award – to be added to each payment made.
I look forward to a full and prompt response to this letter and for the matter to be concluded within eight weeks or I shall be contacting the Financial Ombudsman to investigate my complaint.
Regards,
XXXXX
I started an earlier thread, but actually I wasn't very clear in my postings in it so have started this one afresh to make more sense.
I believe I am entitled to claim mis-sold PPI on a graduate loan I took out with Barclays, but my case is a little more complicated because:
- I've already received a partial refund of PPI after an earlier complaint
- I don't have a copy of the original agreement and the bank can't find it
- In order to remove the PPI, a new loan had to be taken out and I have a suspicion (although can't yet prove it until I get original agreement) that the terms of the new loan were inferior to those of the old loan (which is against some sort of rules, I understand).
I've attached my letter below and wondered if anyone could comment on whether it makes sense or needs changing? I really would appreciate your advice as I'm so utterly confused and stressed out by all of this I just don't know where to turn.
In particular, can I ask you MSErs:
- If the PPI was applied to a graduate loan - and because I was still a student when I applied and accepted - does this set of circumstances indicate that I definitely WAS mis-sold (e.g. I was sold a policy giving me protection from redundancy/unemployment, when I wasn't employed at the time). Does the fact that this was a 'graduate' loan make any material difference than had it been a personal loan, for example? I'm assuming - perhaps incorrectly - that it's a pretty clear case of mis-selling as it's impossible for student to be at risk of redundancy, right?
Anyway, here's my letter - do you think it makes sense?
Dear Sir or Madam,
I am writing to obtain information and clarity regarding an unsecured Barclays Graduate Loan that I took out in 2005, but for which the bank are unable to provide me with details for. In doing so, I am writing to request a refund of all PPI for the duration of the loan.
Before going into the specifics – which are quite complicated and confusing – it probably makes more sense to outline my questions so that these can be borne in mind when going through the detail:
-Was PPI applied to my original graduate loan?
-If so, how much was the PPI (total) and how much was paid?
-Was this PPI refunded – in whole or in part – when the superseding graduate loan took effect?
-Were the terms of the second graduate loan different to the terms of the first?
Here are the specific details of my letter:
In April 2005 (approximately) I visited the Sidney Street (Cambridge) branch of Barclays and made an application for a Graduate Loan with a graduate advisor. The amount requested was £10,000 and this was duly approved.
At the time, PPI was applied to the loan although I did not request it – and nor did it offer me any protection above and beyond any existing insurances I had at the time.
When I applied for the graduate loan, I was informed of my acceptance over the telephone and was told that forms and paperwork would be sent out by post. Eight months later, I had not received any paperwork so it wasn’t until January 2006 that I discovered that PPI had been applied. It was at this stage that I took action to stop paying it.
From January 2006 to March 2006 I made a series of visits to the Smithfield branch of Barclays (close to where I worked) to discuss the PPI on my loan. During these visits I dealt with XXXXX, which saw a subsequent complaint that was dealt with by XXXXX, Customer Relations Manager.
In visiting XXXXX, I was advised that in order to remove the PPI I would need to close the original Graduate loan and take out a new way, without the PPI. This new loan was approved and was opened on 28th March 2006 – and the old loan was closed.
As part of my original complaint, XXXXX organised a refund all of PPI paid between 16th January 2006 and 28th March 2006; this totalled £307.49. This corresponded to the time between the date I first visited the branch to try and cancel the PPI – and the expiry of the original loan.
I now understand that I am legally entitled to reclaim ALL PPI for the duration of the original loan as I was mis-sold the policy on the following grounds:
-That I was unemployed (a student) when I took out the policy and your staff were fully aware of this (it was a graduate loan application, made pre-employment)
-That I paid a single premium for the policy but did not see it through to the end of its initial term after cancelling the insurance before the end of my loan agreement
-That your salesperson implied that taking out the policy would assist my credit application
-That your salesperson was forceful in selling the policy and made me feel like I couldn’t say no
-That your salesperson did not give me full information on what the policy would cover (for example, I was a student at the time and did not start work until September 2005 – so any cover for redundancy, loss of earnings would be futile)
Today, I visited the Oxford Circus branch (just opposite my office) to obtain the following information:
-Original credit agreement for the graduate loan commencing April 2005
-Figures for how much PPI was paid between April 2005 and April 2006
-An understanding of exactly what happened when the new loan superseded the old one
Unfortunately, in spite of an extensive search of the system, the personal banker (XXXXX) showed me details on my accounts on screen and there was no evidence of the original graduate loan existing, despite all my other previous and subsequent agreements displaying .
Therefore, I am writing to you with the hope you will be able to provide me with answers to the questions above.
I would also request a refund of all premiums – taking into account the previous refund of £307.49, of course – and subsequent interest paid on those premiums, that I paid for the duration of the original loan. As I believe I have been deprived of this money I also expect 8% statutory interest – the amount a court would award – to be added to each payment made.
I look forward to a full and prompt response to this letter and for the matter to be concluded within eight weeks or I shall be contacting the Financial Ombudsman to investigate my complaint.
Regards,
XXXXX
0
Comments
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p.s.:
"That I paid a single premium for the policy but did not see it through to the end of its initial term after cancelling the insurance before the end of my loan agreement"
Clarity on this: can I rely on this clause, given that the PPI ran for the entire length of the original loan agreement? Or - in other words - I didn't cancel the insurance before the end of my loan agreement; instead, I cancelled the loan agreement in order to cancel the insurance!0 -
Bumping this one up for you, so others can give their opinions as well, from what I can see it looks good, so good luck and hopefully others will have a say as well.;)
They may have some answers for you as well to your questions.The one and only "Dizzy Di"
0 -
Thanks di3004 - you have been really helpful!
It's so odd that I never realised I could reclaim PPI, despite visiting this site daily and reclaiming my bank charges.
To be honest, the whole process of fighting banks is so draining and complicated, it really does wear your down, doesn't it? I think that if you add up PPI + bank charges I'm probably attempting to reclaim £1,500 total - and you just think 'crumbs, it takes so much effort'! But definitely worth it, if it works. Just stressful and confusing to go through it all.0 -
Deleted_User wrote: »Thanks di3004 - you have been really helpful!
It's so odd that I never realised I could reclaim PPI, despite visiting this site daily and reclaiming my bank charges.
To be honest, the whole process of fighting banks is so draining and complicated, it really does wear your down, doesn't it? I think that if you add up PPI + bank charges I'm probably attempting to reclaim £1,500 total - and you just think 'crumbs, it takes so much effort'! But definitely worth it, if it works. Just stressful and confusing to go through it all.
Your welcome.;)
Yes it can get you down, but once you started you just can't stop lol, you will probably find more PPI on others that may have been mis sold to you, such as credit card ppi, store cards and so on.
Still your going the right direction here now and as soon as your succesful, it will all be worthwhile.;)
Remember there is interest to be claimed as well.
Hopefully someone will post later for you as well, if not I shall ask someone personally to take a looksie for you if you want me to.XThe one and only "Dizzy Di"0 -
Thank you!
I'm having quite a tough time financially at the moment and so this would be a godsend if I can get this through. Do you know what sort of timescales are involved in PPI reclaim - with Barclays particularly? Are we talking weeks? Months? And are they likely to dispute this?0 -
Deleted_User wrote: »Thank you!
I'm having quite a tough time financially at the moment and so this would be a godsend if I can get this through. Do you know what sort of timescales are involved in PPI reclaim - with Barclays particularly? Are we talking weeks? Months? And are they likely to dispute this?
Not a problem, they have 8 weeks to resolve your complaint, if they do not by the final response you can move your complaint on to the Financial ombudsman service (FOS), and let the FOS know as well about your hardship and to request fast tracking the same time.;)The one and only "Dizzy Di"0 -
My mind has been whirring about this all day!
I have some more questions if anyone is able to provide some answers?
When I took out the original loan it was for 10k payable over 60 months (5 years).
When I restructured the new loan to remove the PPI - 1 year after the original loan commenced
(so, after 9 months of repayments, plus the 3 month repayment holiday at the start), I also lengthened the term to 84 months as I was struggling with repayments.
What I don't understand is whether I am in a materially disadvantaged situation because I had to take out a new loan?
My first loan was for 10k. The restructured loan was also for 10k (excluding interest). But if I had been making repayments for a year on the original loan, surely the balance would have been less than 10k on the second?
I'm waiting to get hold of my loan agreement to investigate, but I think what has happened is that the settlement figure for the first loan meant that the second loan was more costly than it needed to be, so some of my repayments on the original agreement were in vain.
Does that make sense?0 -
Deleted_User wrote: »My mind has been whirring about this all day!
I have some more questions if anyone is able to provide some answers?
When I took out the original loan it was for 10k payable over 60 months (5 years).
When I restructured the new loan to remove the PPI - 1 year after the original loan commenced
(so, after 9 months of repayments, plus the 3 month repayment holiday at the start), I also lengthened the term to 84 months as I was struggling with repayments.
What I don't understand is whether I am in a materially disadvantaged situation because I had to take out a new loan?
My first loan was for 10k. The restructured loan was also for 10k (excluding interest). But if I had been making repayments for a year on the original loan, surely the balance would have been less than 10k on the second?
I'm waiting to get hold of my loan agreement to investigate, but I think what has happened is that the settlement figure for the first loan meant that the second loan was more costly than it needed to be, so some of my repayments on the original agreement were in vain.
Does that make sense?
Yes I know what your saying here.
You could also ask them if they would be kind enough posting you the calculations from the one loan to the other.;)
Hopefully Melorablack can take a look at this one, if I see her here later, I shall try to nab her for you lol
The one and only "Dizzy Di"0 -
Thanks Di - hopefully someone will be able to help me.0
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Hello - just bumping this up to see if someone can answer my questions in the first post? Please?0
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