How much personal info should I give Lloyds? PPI Reclaim

743347

Hi Moneysavers!

I'm in the middle of a PPI reclaim with Lloyds and need some advice before I write back to them.

I took out a loan in 2001 which was settled in 2005. I'm hoping to claim back around £1200 in PPI from the original premium, plus subsequent interest. I wasn't asked about medical conditions when I took out the policy, and at that time I did have a condition, diagnosed two years earlier, which may have invalidated the insurance as details weren't requested nor disclosed.
In my last letter to them I stated that I had a medical condition which I was not obliged to discuss nor disclose unless required to do so in court. Their reply came in the post this morning and states;
"In order for us to further consider your complaint, it wold be helpful if you could provide evidence of;

• The existence of this condition at the time of the purchase. In particular, evidence of the condition having been diagnosed by a doctor at that time.
• Details of when you last suffered rom the condition prior to the purchase of your loan protection insurance.
• Details of the discussion which you had with the seller at the time concerning your health.

Once I receive the above information from you, then I will be able to give further consideration to your complaint"

Do they have the right to request this information? I'd rather not disclose it as it is my business, not theirs, and also I don't have a copy of the t's and c's so I'm not sure where I would stand in this invalidating the insurance or not. If I give them the info they will probably say "not paying out because of x, y and z", whereas if I don't give them the details perhaps they will err on the side of caution and just pay up if I threaten court action? The condition is something that is not life threatening in early stages, but can go on to be much more serious in later stages, so I'm worried that they may deem it 'not relevant'
What do I do? Help!

Amusingly, the incompetent little 'copy and pasters' have offered me a dinky little goodwill gesture (as full settlement of my claim) and are offering to rebate this money to my loan account. Yes, the one that was paid off in 2005. Awww, gotta love them.:T

Thanks in advance

di3004

743347 wrote: »

Hi Moneysavers!
Hello there
I'm in the middle of a PPI reclaim with Lloyds and need some advice before I write back to them.
We will try to help all we can.

I took out a loan in 2001 which was settled in 2005. I'm hoping to claim back around £1200 in PPI from the original premium, plus subsequent interest. I wasn't asked about medical conditions when I took out the policy, and at that time I did have a condition, diagnosed two years earlier, which may have invalidated the insurance as details weren't requested nor disclosed.
This is Lloyds all over.

In my last letter to them I stated that I had a medical condition which I was not obliged to discuss nor disclose unless required to do so in court. Their reply came in the post this morning and states;

"In order for us to further consider your complaint, it wold be helpful if you could provide evidence of;
This is normal procedures with Lloyds, and in most cases the main of us receives these letters.

• The existence of this condition at the time of the purchase. In particular, evidence of the condition having been diagnosed by a doctor at that time.
• I know this is a personal matter, but if you want to disclose this, ask your surgery for dates of your medical condition, even if they do not disclose the medical problem, ask your gp if they can keep this part private, I'm sure the dates should be fine.
• It's understandable if you do not want to disclose the med issues, only disclose these if you want to, its up to you.
• Details of when you last suffered rom the condition prior to the purchase of your loan protection insurance.
• If this is still ongoing, tell them that, or otherwise your surgery if you want them to will disclose this info.
• Details of the discussion which you had with the seller at the time concerning your health.
• Can you remember the discussion on this when this policy was sold to you?
• If not and your sure these were not discussed, then tell them that.

Once I receive the above information from you, then I will be able to give further consideration to your complaint"
I think from here they send a letter to confirm this have been received and they will need some time to investigate, but this may differ, depending if they do need extra time or not.


Do they have the right to request this information? I'd rather not disclose it as it is my business, not theirs, and also I don't have a copy of the t's and c's so I'm not sure where I would stand in this invalidating the insurance or not. If I give them the info they will probably say "not paying out because of x, y and z", whereas if I don't give them the details perhaps they will err on the side of caution and just pay up if I threaten court action? The condition is something that is not life threatening in early stages, but can go on to be much more serious in later stages, so I'm worried that they may deem it 'not relevant'
What do I do? Help!
I think to investigate your complaint further, the more info they have the better for you really, but if you feel its too personal and do not want them to know all the details, I'm sure the dates may be a help of when you had these med problems.

Amusingly, the incompetent little 'copy and pasters' have offered me a dinky little goodwill gesture (as full settlement of my claim) and are offering to rebate this money to my loan account. Yes, the one that was paid off in 2005. Awww, gotta love them.:T

Thanks in advance

Wow, that is something then lol :T:T:T.
Remember as well if they do not resolve in your favour, you always have the Financial ombudsman service (FOS).

You may have heard in the media, also from this site that Lloyds rarely uphold complaints, where the FOS does so with these, so keep at them, good luck.;)

743347

Thank you for your reply and suggestions Di, I'm going to give them dates and see what happens
As a precautionary measure I think I'm also going to file a case with the FOS since the payouts from Lloyds look so bleak.
Although I'd like to have it settled sooner rather than later, I'm not too bothered if the FOS take a year to resolve it (that's an approximation I've picked up from somewhere - is this correct?) as this will mean even more of a payout - an extra year's interest :j Better performance than most savings accounts currently!
K

di3004

743347 wrote: »

Thank you for your reply and suggestions Di, I'm going to give them dates and see what happens
As a precautionary measure I think I'm also going to file a case with the FOS since the payouts from Lloyds look so bleak.
Although I'd like to have it settled sooner rather than later, I'm not too bothered if the FOS take a year to resolve it (that's an approximation I've picked up from somewhere - is this correct?) as this will mean even more of a payout - an extra year's interest :j Better performance than most savings accounts currently!
K

Your very welcome.

Wishing you luck and hope all this goes your way.

You may have read on here that Lloyds are one of the highest that rejects complaints, but since its been shown in black and white, hopefully they will have a change of heart and resolve complaints direct in everyone's favour, to save the agro of having to go as far as the FOS.

Yes with the large volumes of these complaints the FOS are dealing with, it can take some time.
Keeping my fingers crossed for you.;)

743347

Hellooo moneysavers and a very:xmassign: !

I'm pleased to announce that Lloyds TSB have decided to uphold my claim!

It seems to be taking them a while to sort out calculations, as I received the letter around the beginning of November if I remember correctly. The letter mentioned no figures, so after reading on here that many people have had figures calculated and posted out to sign, I called LTSB and asked them to do the same.
They guy I spoke to just confirmed that I would be getting back the whole premium paid, including interest etc and I said I'd sign the letter I had and send it in. So as such, I haven't signed for any specific figure.

I've been reading through some threads about how figures are calculated, and it's to the effect of
A (premium)
B (Resettlement difference - if applicable)
C = Total A+B
D = C + 8%

If this is correct, are we missing something?

I settled my loan early, but only by a few payments so there was only a small rebate at that time. I believe it was paid off around mid-2005. Does rule 78 apply and what does this imply?

Now what concerns me is that I was paying almost 15% interest each month on the whole monthly repayment. Would I be right in thinking that I am entitled to reclaim a the interest on the PPI fraction of each monthly payment too?

Purely as an example, if I were paying

£50 loan payment + £10 PPI = £60 + 15% interest = £69 per month
So £9 interest divided by 6 = £1.50 interest paid on top of the PPI installment
Therefore the PPI to reclaim each month would be £11.50 instead of £10?
I can find no mention of refunding interest paid as well as the premium itself before the 8% is calculated.

Also do they calculate the 8% on the total figure or is it from the time each monhly payment was made?

:think:

K

marshallka

Hi 74337, if you are looking at the way they do these redressing figures when a loan is settled and rule 78 used, if you won a missale then you would expect to be put back into the position as if you never had the PPI anyway.

You would work it out as follows

They look at your loan and PPI and see what you paid that was towards the PPI (the part of the repayment that went towards PPI) and then take your settlement figure when you settled early. Next they would work the loan out without the PPI (which would be just the loan and what your repayments should have been without the PPI added). They then take one from the other and add 8% statutory interest to that figure which "could" be arguable I suppose in that you should really have 8% statutory interest added to each repayment made against the PPI from the date you made it and then so on and then 8% onto the settlement amount you settled towards the PPI also. Not much of a difference in my cases but could I would imagine be a few extra quid for loans that have run for quite some time before settling early.

Hope this helps.

743347

Hi Marshallka and thank you for your reply.
Hmmmm sounds a bit devious to me if they are just adding 8% onto the final figure, as I'm pretty sure that we are entitled to claim 8% of each payment from the date it is made?

My loan started in 2001. If my PPI was £25 per month, claiming 8% from a payment made approx 01/01/2001 would be almost £18 in interest, as opposed to approx £11 if the 8% was calculated around the time the loan was settled in mid-2004.

This difference of up to £7 added to 12 annual payments for a period of around 4 years soon adds up.

If I'm not happy with the way they work out the final figure can I request that they review it, given the fact that I've already signed the acceptance for how they will do this?