PPI barclays

solva

I have put a ppi claim in to barclays and they have sent me a reply stating that they are going to refund me!! problem is i am having trouble understanding the letter and what exactly they are doing !! has anyone else had dealings with barclays or can anyone help me,thanks

di3004

solva wrote: »

I have put a ppi claim in to barclays and they have sent me a reply stating that they are going to refund me!! problem is i am having trouble understanding the letter and what exactly they are doing !! has anyone else had dealings with barclays or can anyone help me,thanks

Hi there

Well done and Congratulations on your success. :beer::j:T

Please feel free to post up your letter (minus the personal details) and I'm sure someone will take a look for you.;)

solva

here is a basic copy of my letter!!I dont have a scanner so i have typed out the important bits!!

"In Feb 2007...The loan was for £13,000 over a term of 96 months.The application included PPI cover with a premium of £3,632.90,which was added to the loan and required a contracted monthly instalment of £52.65 to ensure it was repaid within the agreed term.

Based on these findings I have upheld your complaint.I therefore wish to offer to place you into the position you would now be in had PPI not been added to the original loan.

To achieve this it will be necessary to refund the original premium to the loan,plus the interest paid thereon,thus reducing the debt.It wil then be necessary to reverse from the loan the PPI payments made to date(which will increase the loan balance)and replace them to your current account.

I have calculated the balance of your loan after the proposed refund as follows:
present loan balance:£11,917.30
Less PPI premium £3,632.90
Less PPI interest paid £812.87
Plus PPI payments reversed £1,842.75
Residual balance £9,314.28

I am also prepared to meet your claim for an additional 8% interest on the premiums you have paid and will arrange to credit your current account with the appropiate sum of £221.13."

di3004

solva wrote: »

here is a basic copy of my letter!!I dont have a scanner so i have typed out the important bits!!

"In Feb 2007...The loan was for £13,000 over a term of 96 months.The application included PPI cover with a premium of £3,632.90,which was added to the loan and required a contracted monthly instalment of £52.65 to ensure it was repaid within the agreed term.

Based on these findings I have upheld your complaint.I therefore wish to offer to place you into the position you would now be in had PPI not been added to the original loan.

To achieve this it will be necessary to refund the original premium to the loan,plus the interest paid thereon,thus reducing the debt.It wil then be necessary to reverse from the loan the PPI payments made to date(which will increase the loan balance)and replace them to your current account.

I have calculated the balance of your loan after the proposed refund as follows:
present loan balance:£11,917.30
Less PPI premium £3,632.90
Less PPI interest paid £812.87
Plus PPI payments reversed £1,842.75
Residual balance £9,314.28

I am also prepared to meet your claim for an additional 8% interest on the premiums you have paid and will arrange to credit your current account with the appropiate sum of £221.13."

Hi thanks for posting this up.

I am not good at working out calculations myself but I'm sure someone will be along to check them over for you at some point today.;)

jellybean09

I have only glanced at this but from what I can see im assuming your still paying the loan and the first amount relates to the amount you still owe? it looks as though they are deducting the PPI amount off the loan, taking into account what you have already paid off it and the amount your left with is your new loan balance.

I think the credit to your account is simply the 8% interest on the PPI amount.

I may have completely misread, am in a bit of a rush but wanted to try and shed some light for you.

J_i_m

It's taken some time for me to get my head round it. But like jellybean09 points out you are still paying off your loan. Hence you haven't paid off the PPI yet anyway.

It looks to me like they have:

Cancelled the PPI
Refunded the original PPI premium to the loan balance
Refunded interest paid on your PPI payments to date to the loan balance

And then since you are still part way through the loan you haven't paid off the PPI part of the loan, and hence Barclays are not going to refund you for what you haven't paid.

So in effect they have reclaimed what you haven't paid from the refund.

In a nutshell what looks to happened here is:

Your loan balance has been reduced by £2603.02
Your current account has been credited with £2063.88

It seems to be a long winded way of doing things, but I've learnt from some problems with payroll at work, that it's done in such a way as to be confusing as possible.

solva

Hello JIM,
Thank you very much for studying my letter,you really helped me out!! I read the letter and thought I was only getting £221.13!! so I am very happy happy happy.Thanks again.

J_i_m

I assumed that at first.

But

It wil then be necessary to reverse from the loan the PPI payments made to date(which will increase the loan balance)and replace them to your current account.

suggests that £1,842.75 is being credited to the current account.

From that I assume the monthly repayments remain unaltered. But I also could be wrong

robbedofmymoney

J_i_m wrote: »

I assumed that at first.

But suggests that £1,842.75 is being credited to the current account.

From that I assume the monthly repayments remain unaltered. But I also could be wrong

Jim,

you are correct, i will remove my posting, it look slike i have mis read this

jfish

as we on Barclays how long do these lot take to get a decision, sent letter off AUgust 2009 and was expecting a decision by Oct 2009 by the letter they sent, been phoning them every week and same old story, they have a huge list of claims to go thru.

Sent a letter off last week saying want a decision by end of Feb or else going to FOS

di3004

jfish wrote: »

as we on Barclays how long do these lot take to get a decision, sent letter off AUgust 2009 and was expecting a decision by Oct 2009 by the letter they sent, been phoning them every week and same old story, they have a huge list of claims to go thru.

Sent a letter off last week saying want a decision by end of Feb or else going to FOS

Hello there
Blimey they are taking their time........:eek:
8 weeks in full they should respond, if not then you have the opportunity to go to the FOS.
So your doing the right thing by chasing them up on this, good luck.