CitiFinancial & PPI

StokiePotter

Good Morning All,

I have posted on the site before "numerous times" but have lost my log on details so have re-registered :cool:

Now what it is.... to cut a long story short (which is documented on C A G) I took out a loan with Citi Financial in 2004, and paid it off 5 months later when I purchased my house (via a refinance loan). I have recently contacted Citi in regards to the PPI that was added to the loan and promptly got a refund of £388 (the PPI on application was £927). Upon making enquiries I have been told that this amount is nowhere near what I should have been claiming.

I have gladly accepted the £388 offered (obviously as a part settlement) but am baffled on the amount I am actually due from them as the loan was paid off early

Could anybody offer some assistance "Please" :beer:

SP

marshallka

StokiePotter wrote: »

Good Morning All,

I have posted on the site before "numerous times" but have lost my log on details so have re-registered :cool:

Now what it is.... to cut a long story short (which is documented on C A G) I took out a loan with Citi Financial in 2004, and paid it off 5 months later when I purchased my house (via a refinance loan). I have recently contacted Citi in regards to the PPI that was added to the loan and promptly got a refund of £388 (the PPI on application was £927). Upon making enquiries I have been told that this amount is nowhere near what I should have been claiming.

I have gladly accepted the £388 offered (obviously as a part settlement) but am baffled on the amount I am actually due from them as the loan was paid off early

Could anybody offer some assistance "Please" :beer:

SP

Hi stokiepotter, (I am from stoke also:beer:).

As you paid the loan off early you would have had a refund of the PPI and also the interest on the PPI so you really need to find these amounts out.

I am confused as to who has told you that you should have had more refunded to you? Also was the amount that you received actually signed as "part settlement"? Is the complaint still open then and when did you actually received this part settlement?

Really need the settlement figure you paid back when you settled early and also a breakdown of it. No-one can do anything without this figure as it would ALL be guessing. Also need all the figures from the agreement.

StokiePotter

marshallka, thaks for your reply :money:

another Stokie eh.... these sites are full of us

Well "in brief" my details of claim are as follows...

Loan Amount - £3500.00 (taken out in May 2004)
Optional Insurance - £927.43
Arrangement Fee - £100.00

Total Financed - £4527.43

Interest Rate - 3.380% p/month
Annual Percentage Rate - 51.7%
Number of Monthly Instalments - 36
Monthly Payment - £219.25

The loan was paid off in October 2004 and can remember it was for more than £3500, plus Id made 5 payments in between.

I received a refund from Citi at the beginning of January for £388.64, with the following included on the letter..

Insurance Premium - £927.43
Interest on the Premium based on 40.54% for the life of the loan - £151.91
Less the rebate given for insurance cancellation - £690.70

Total Refund amount - £388.64

There was absolutely no refund issued to me when the loan was paid off and now the settlement was in or around the £4K region as I had to pay extra on top of the cheque that my refinance loan had issued.

I have visted the C A G and have been advised that the amount paid is a pittence of what I should expect back.... I have filled out spreadsheets and the figures returned are in the £1000's :eek: I need to send the "Thanks" but "no Thanks" letter asap but dont want to look a fool by trying to reclaim "£ 000's"

StokiePotter

Just spoke to them and the settlement paid on the 19th October 2004 was....

£3500 cheque plus a cash payment of £858.58 = £4358.58 :eek:

Looks like i was fully charged for the PPI

marshallka

StokiePotter wrote: »

Just spoke to them and the settlement paid on the 19th October 2004 was....

£3500 cheque plus a cash payment of £858.58 = £4358.58 :eek:

Looks like i was fully charged for the PPI

Your PPI element was 20.95% and your part of repayment that went towards PPI was £45.93. You made 5 repayments and it totalled 45.93 x 5 = £229.65. Your total PPI if it had gone to term would have been 45.93 x 36 = £1653.48.

You then have total PPI 1653.49 - repayments against PPI 229.65 - rebate when loan was repaid 690.70 = £733.14 + repayments made 229.65 = 962.79 LESS whatever was rebated for the INTEREST part of the PPI. This would depend on how the settlement was made? As this was taken in 2004 then I would assume it was rule of 78.

If it was rule of 78 I could perhaps check it so will be right back.

StokiePotter

WOOOOOOSH :-)

So glad these sites are here to offer advice and assistance

Ive filled out a Spreadsheet as supplied by another wonderful consumer website and the total is near on £18K :eek: for the contractual interest?!?

marshallka

It definately look like rule of 78 was used in your settlement. Your settlement should have been (using rule 78 calculator) £4533.20 - the rebate of insurance that THEY say you had of £690.70. This would mean a settlement figure of £3842.50. You actually settled £4358.58. Now I know you had an amount of £100 arrangement fee added to your loan so again I will try and calculate and take this into account. This mean a settlement of £4598.52 - rebate of Insurance 690.70 = £3907.82. I definately think they have calculated it wrong here so you would be correct to question it.

I get the actual refund should have been £949.61 less whatever rebate you ACTUALLY had against the insurance premium (they are saying £690.70 but I feel this is not correct) - 690.70 = £258.91 + repayments made against the PPI being (45.93 x 5) £229.65 = £488.56.

PLEASE NOTE THAT ABOVE FIGURE FOR YOUR ACTUAL REFUND DUE OF £488.56 IS ONLY GOING ON THE FACT THAT THEY "SAY" THEY REBATED YOU £690.70 OF THE INSURANCE PREMIUM WHEN YOU SETTLED. FROM WHAT YOU ACTUALLY DID SETTLE I CANNOT SEE THAT THIS IS TRUE.

marshallka

StokiePotter wrote: »

WOOOOOOSH :-)

So glad these sites are here to offer advice and assistance

Ive filled out a Spreadsheet as supplied by another wonderful consumer website and the total is near on £18K :eek: for the contractual interest?!?

Blimey, that is one hell of a wrong spreadsheet.:eek:

StokiePotter

So Im best sending them a letter to partially accept the payment of £388.64 but also request the other £690.70, which I never got back :-/ + the £100 arrangement fee + 8% interest (contractual?)

marshallka

StokiePotter wrote: »

So Im best sending them a letter to partially accept the payment of £388.64 but also request the other £690.70, which I never got back :-/ + the £100 arrangement fee + 8% interest (contractual?)

Hi, it would not be £690.70 extra. Your settlement should have been £4598.52 - this rebate they say you had £690.70 being £3907.82 BUT you paid £4358.58, a difference of £450.76. Their figures need verifying.

IF your settlement figure WAS correct then your total PPI back should have been 949.61 - 690.70 = £258.91 + repayment made £229.65 = £488.56. This would have been the amount you would be redressed BUT you OVERPAID at settlement also.

StokiePotter

O Ok.... :-/

Im guessing the best way to do so is with a SAR?

Will this mean I need to scrap the 8 week deadline I gave them? :-)