PPI Return

micky987_2

I have to thank Martin for this tip. I printed out the letter he provided on this site and sent it off to EGG Banking with whom I have a loan. I forgot about it and a month later I received a letter from them saying they were giving back £3,100 that they had illegally sold me as a Payment Protection Plan. As you can imagine I'm over the moon but they have taken this amount against my loan to reduce the loan which they aren't allowed to do if I request the money as a cheque etc. but they said this is their policy. I argued that it is not correct but then she looked again at my records and saw that I am on a special loan repayment for 6 months as I don't have a proper income at the minute (I pay back £1 per month for 6 months) and she told me that it was because of this. I think she is wrong and they can't do this. I'll write a letter and go through their complaints procedure. does anyone know any different? Many thanks.

di3004

micky987 wrote: »

I have to thank Martin for this tip. I printed out the letter he provided on this site and sent it off to EGG Banking with whom I have a loan. I forgot about it and a month later I received a letter from them saying they were giving back £3,100 that they had illegally sold me as a Payment Protection Plan. As you can imagine I'm over the moon but they have taken this amount against my loan to reduce the loan which they aren't allowed to do if I request the money as a cheque etc. but they said this is their policy. I argued that it is not correct but then she looked again at my records and saw that I am on a special loan repayment for 6 months as I don't have a proper income at the minute (I pay back £1 per month for 6 months) and she told me that it was because of this. I think she is wrong and they can't do this. I'll write a letter and go through their complaints procedure. does anyone know any different? Many thanks.

Hi there
first of all well done.:beer:

Yes unfortunately they are able to do this, they can refund towards the arrears and if anything is remaining they should refund the remainder directly to you.

Of course if your not happy with the way they have dealt with this and they still do not resolve it the way you have asked, you can still complain to the FOS, but its possible the FOS may say the same in this case.

Good luck with this.;)

micky987_2

Hi di3004

Thanks very much for this info. My arrears are only £600 so it sound like I'm allowed about £2,500 of it !?! :j

di3004

micky987 wrote: »

Hi di3004

Thanks very much for this info. My arrears are only £600 so it sound like I'm allowed about £2,500 of it !?! :j

Your very welcome.
Yes that is correct.:T;)

dec22

micky987 wrote: »

Hi di3004

Thanks very much for this info. My arrears are only £600 so it sound like I'm allowed about £2,500 of it !?! :j

That is some good news although not really helping you currently. Egg are so very difficult with regard to refunding directly to you loan. I have a case with the FOS at the moment as I didn't have any arrears but they credited my loan account and reduced my term.

Although I have noticed that they they are refunding direcly to people and more promptly but as Di says, that is generally where there are no arrears.

Try ringing the FOS and see what they have to say, explain your current financial situation to them.

Good luck!