Quick question about PPI

Digitalscooby

First of all a massive thank you to everyone on these forums. Just reading the posts here have helped myself and my wife hugely and has given us the courage to finally face up to our debts and do something about them.

Hopefully we will shortly be referred to CCCS by National Debtline. I have loads of questions and I'll post them here when I have a bit more time.

For reference we have a little over 80k of debt and I believe we can offer 1.5k per month to our unsecured creditors. None of our creditors know about our plans yet and I just about have enough to pay them all this month before all reserves run out.

My question is: our largest debt is a bank loan which has a huge amount of PPI tagged on to it. What happens about that? If I cancel it it will reduce the total by a few thousand. Should I do that now while I am waiting to set up the DMP?

I did ring them a few months back and asked about cancelling it. They said it would not reduce the monthly payments, they would stay the same, it would simply reduce the time we will be taking to pay the loan.

Thanks

DS

MrsTinks

PPI is a strange beast really - have you looked at the PPI article to see if you may have been mis-sold the PPI? If you have you could reclaim all the costs of the PPI you have paid so far...
Speak to CCCS or National Debtline before you cancel the PPI though

Digitalscooby

Thanks MrsTine - just off to work so a bit hurried - I'll do that.

I am absolutely sure I could claim for bank charges and mis-sold ppi many times over. I just don't have the courage to do it now because I don't want to upset the creditors I am just about to write to asking them to be nice to me.

I wont do it now, will have a chat with CCCS when we are referred.

DS