PPI - Cancelled but wrong amount paid to me

Nikita_st

Hi all, i hope someone can help.

Having recently cancelled my PPI on a personal loan, the company i pay this to seems to want to only pay me a small amount back.

Over the duration of my loan i have been paying, as per my paperwork, £26.62 per month that is automatically added to my monthly loan amount. This equates to roughly £22pm with interest added.

I have 23 months left on my loan therefore i figured that i should be getting back atleast 23months * £22 (more if i should include the interest).

The loan company reckon that im only getting back £218 which works out at under £10 per month yet my loan paperwork clearly states that £26.62 of my repayments is for PPI.

They have tried to tell me that my PPI amounts were worth more at the beginning of my loan meaning i pay less in PPI the nearer i get to the end of it. How can that be the case if my monthly amounts dont change? Surely it should be exactly how the paperwork states and however they chose to pay the PPI underwriters is up to them as my contract is between me and the loan company (they pay the underwriters out of my repayments).

Have i got things completely wrong here or do i have a legal issue with my loan provider given that its in B&W on paper?

I have done a search on the forums before starting this thread but i cant find anything similar to my case, thanks in advance.

di3004

Nikita_st wrote: »

Hi all, i hope someone can help.

Having recently cancelled my PPI on a personal loan, the company i pay this to seems to want to only pay me a small amount back.

Over the duration of my loan i have been paying, as per my paperwork, £26.62 per month that is automatically added to my monthly loan amount. This equates to roughly £22pm with interest added.

I have 23 months left on my loan therefore i figured that i should be getting back atleast 23months * £22 (more if i should include the interest).

The loan company reckon that im only getting back £218 which works out at under £10 per month yet my loan paperwork clearly states that £26.62 of my repayments is for PPI.

They have tried to tell me that my PPI amounts were worth more at the beginning of my loan meaning i pay less in PPI the nearer i get to the end of it. How can that be the case if my monthly amounts dont change? Surely it should be exactly how the paperwork states and however they chose to pay the PPI underwriters is up to them as my contract is between me and the loan company (they pay the underwriters out of my repayments).

Have i got things completely wrong here or do i have a legal issue with my loan provider given that its in B&W on paper?

I have done a search on the forums before starting this thread but i cant find anything similar to my case, thanks in advance.

Hello there and welcome.;)

Hopefully someone will come along soon to answer your question.

May I ask if you believe the PPI was mis sold to you or not?

For more info on reclaiming on the PPI there is another thread here below, good luck.
http://forums.moneysavingexpert.com/forumdisplay.html?f=169

Nikita_st

Hi there, unfortunately i cannot claim that it was mis-sold as i have claimed on the PPI in the past. As i have now changed my jobs the PPI no longer applies to me therefore i was advised to cancel which has resulted in the above.

jonesMUFCforever

If you have made a claim on the PPI then you are not entitled to a penny back!
If they have/are paying you something back then take it and treat it as a bit of luck - if you push it they may do some digging and ooppps!!

Nikita_st

So youre saying that if i cancel paying the PPI for the rest of the loan then im not entitled to have my loan either reduced by that amount or to have that amount sent to me?

jonesMUFCforever

Nikita_st wrote: »

So youre saying that if i cancel paying the PPI for the rest of the loan then im not entitled to have my loan either reduced by that amount or to have that amount sent to me?

Yes that is what I am saying.
Check your terms and conditions - most will state that if you make a claim on the policy then you are not entitled to a refund - you seem to want your cake and eat it.