Working out PPI refund due.....

liberty_lily

Hi everyone,

I have had a mis-sold PPI claim against Norton Finance upheld by the FOS and am awaiting the offer details from NF.

Unfortunately as they and Swift (whom the loan was with) totally ripped me off previously I am rather sceptical that their offer will be correct and therefore want to be sure of what I should be receiving!

When I sent in my initial complaint I included a spreadsheet with interest calculated using one of the online calculators, but am not a hundred percent certain my figures were correct.

If anyone could assist me with working this out I would be most grateful!

These are the PPI figures -

Single premium PPI - £5323.00 covering 3 years (the loan term was 25 years and interest was to be charged on the PPI for the full 25 years)

Monthly PPI premium - £60.68 including interest

Months paid - 15 before loan was settled in full

Here are some of the loan figures which may be useful -

Loan (before adding PPI) - £53,230.00

Monthly loan repayment (minus PPI) - £667.55 (although this increased as the interest rate rose)

APR - 14.52% (increased to 15.77% over 15 months I had loan)

Settlement figure (after 15 months) - £60,858.59 (before charges and ERC totalling approx £9000 were added)

I have looked at the figures and don't believe there was any PPI rebate when the loan was settled early. In any case according to the T&Cs for the PPI (which I only received recently in a SAR) the most I would have got after paying 15 months was around £300.

By my calculations I should receive -

1) PPI premiums paid - 15 x £60.68 = £910.20

2) 8% simple interest on the premiums from date each one was paid to date claim settled = £215.95 (this needs updating as I last calculated it in March)

3) The cost of the PPI (£5323.00) minus any rebate (£0?) minus my premiums paid excluding interest (not sure what this should be) = £ ?

4) 8% simple interest on the figure in 3) above - £ ?

5) Total refund due - £ ?

Could anyone help me to fill in the gaps and get me to a final figure please?

Many thanks in advance!

Liberty_lily xxx

robbedofmymoney

Hi,

i will give it a go,
please can you let me know when the loan started, to enable me to get the 8% correct.

i will also assume there was only the £300 rebate on the ppi premium for now, i can re-look at a later date if it turns out there was

cheers

and well done on your success :beer:

liberty_lily

Hi robbedofmymoney,

Thank you - that would be wonderful!

The first payment was made on 23/7/06. Let me know if you need anything else...........

Liberty_lily xxx

robbedofmymoney

liberty_lily wrote: »

Hi everyone,

I have had a mis-sold PPI claim against Norton Finance upheld by the FOS and am awaiting the offer details from NF.

Unfortunately as they and Swift (whom the loan was with) totally ripped me off previously I am rather sceptical that their offer will be correct and therefore want to be sure of what I should be receiving!

When I sent in my initial complaint I included a spreadsheet with interest calculated using one of the online calculators, but am not a hundred percent certain my figures were correct.

If anyone could assist me with working this out I would be most grateful!

These are the PPI figures -

Single premium PPI - £5323.00 covering 3 years (the loan term was 25 years and interest was to be charged on the PPI for the full 25 years)

Monthly PPI premium - £60.68 including interest

Months paid - 15 before loan was settled in full

Here are some of the loan figures which may be useful -

Loan (before adding PPI) - £53,230.00

Monthly loan repayment (minus PPI) - £667.55 (although this increased as the interest rate rose)

APR - 14.52% (increased to 15.77% over 15 months I had loan)

Settlement figure (after 15 months) - £60,858.59 (before charges and ERC totalling approx £9000 were added)

I have looked at the figures and don't believe there was any PPI rebate when the loan was settled early. In any case according to the T&Cs for the PPI (which I only received recently in a SAR) the most I would have got after paying 15 months was around £300.

By my calculations I should receive -

1) PPI premiums paid - 15 x £60.68 = £910.20 this is correct

2) 8% simple interest on the premiums from date each one was paid to date claim settled = £215.95 (this needs updating as I last calculated it in March) this will go up to £248 up to the end of June

3) The cost of the PPI (£5323.00) minus any rebate (£0?) minus my premiums paid excluding interest (not sure what this should be) = £ ? the ppi without interest should be calculated like this, £5323 divided by 300 (25 years) = £17.75 per month , so 15 x £17.75 = £266.25 ppi without interest. (this is how it is usually worked out)

so total cost of ppi less £300 rebate (unless they give a different figure) less £266.75 = £4756.25

4) 8% simple interest on the figure in 3) above - £1046

5) Total refund due - £910.20 + £248 + 4756.25 + £1046 = £6960.45

Could anyone help me to fill in the gaps and get me to a final figure please?

Many thanks in advance!

Liberty_lily xxx

please see above, this could vary if they have given a larger rebate or calculate the ppi wihtout interest differently, but the figures should be about right. depending on how the early settlement figure was calculated they may have charged you additional interest on the ppi when calculating the settlement figure (details should be in the T & C's)

liberty_lily

robbedofmymoney wrote: »

please see above, this could vary if they have given a larger rebate or calculate the ppi wihtout interest differently, but the figures should be about right. depending on how the early settlement figure was calculated they may have charged you additional interest on the ppi when calculating the settlement figure (details should be in the T & C's)

Hi robbedofmymoney,

That's brilliant, thank you

My original calculations worked it out to about £1000 more than this, but I thought I had done something wrong............I've played around with the figures so many times that once again I've completely confused myself. I can't thank you enough for working it out so quickly for me!

Liberty_lily xxx