Welcome Fincance VT & PPI

scrappy04

Hi,

I am requesting Voluntary Termination with WFS on my Hire Purchase.
I owe £65.12 on the goods as this is the amount I had underpaid to get to the 50% mark required for VT.
The PPI totals £3893 and so far I have paid £1871. WFS are requesting that I pay the outstanding £1515 along with th £65.12.

Why am I expected to pay for the remainder of Payment Protection Insurance for an HP agreement that will no longer exist and I won't be making payments on that require protectecting?

If I cancel my car insurance, I am expected to pay a cancellation fee and then it's over. I dont have to pay for the insurance I am not using.

Am I able to argue this or will I be fighting a loosing battle? Any help will be most appreciated.

bottleofred

Hi,

Sorry, I can't help, but I'll bump this up the page and hopefully someone who can will be along soon.

scrappy04

Any ideas from any body please?

amersall

scrappy04 wrote: »

Hi,

I am requesting Voluntary Termination with WFS on my Hire Purchase.
I owe £65.12 on the goods as this is the amount I had underpaid to get to the 50% mark required for VT.
The PPI totals £3893 and so far I have paid £1871. WFS are requesting that I pay the outstanding £1515 along with th £65.12.

Why am I expected to pay for the remainder of Payment Protection Insurance for an HP agreement that will no longer exist and I won't be making payments on that require protectecting?

If I cancel my car insurance, I am expected to pay a cancellation fee and then it's over. I dont have to pay for the insurance I am not using.

Am I able to argue this or will I be fighting a loosing battle? Any help will be most appreciated.

Hi there, you are right, why should you pay for something that you will no longer have. Take a look at this thread and see if you have a a reason for mis sell on this ppi.
http://www.moneysavingexpert.com/reclaim/ppi-loan-insurance#checklist
You may not have been mis sold this ppi, and if that is the case, write to welcome and state you shouldnt pay all this ppi because..and put the reason you state above, and ask them to reduce this amount (drastically) or you will go to fos.Also, you could cancel this ppi, but you wont get much of a rebate. You have to pay this ppi as it is on your loan agreement, have they included a rebate on this ppi for the term left to pay as the term has been reduced?.Hope this helps.

scrappy04

Thank you.
I cancelled the PPI and made a complaint that I was misold PPI.

I got approx. £300 rebate from the PPI and upon cancelling, the Pro-Rata system knocked off about £200, so I still owe them £1000 for PPI that I do not want/need. Can I refuse to pay this final sum? The lady at WFS told me that when PPI is taken out by the customer, WFS pay the PPI company a lump sum and it is that sum that you end up paying upon cancellation.

I have cancelled the PPI, no longer have/own the car and just want to stop paying out money to WFS.

Is there anything I can do please?

Robert_Roberston

scrappy04 wrote: »

Thank you.
I cancelled the PPI and made a complaint that I was misold PPI.

I got approx. £300 rebate from the PPI and upon cancelling, the Pro-Rata system knocked off about £200, so I still owe them £1000 for PPI that I do not want/need. Can I refuse to pay this final sum? The lady at WFS told me that when PPI is taken out by the customer, WFS pay the PPI company a lump sum and it is that sum that you end up paying upon cancellation.

I have cancelled the PPI, no longer have/own the car and just want to stop paying out money to WFS.

Is there anything I can do please?

That is fine and fair enough but you are paying monthly PPI payments and not lump sum payments.

I'm sure I've read something that they often come up with this excuse and it holds no water but an expert will be along shortly.:money:

amersall

Scrappyo4, hope you see this, sorry i did not reply sooner,get a letter in for mis sell of this ppi, when you cancelled the ppi it would still have been on your loan till the end of loan term, that is why you still owe it. Send a letter as i said and tell them that you will take this to fos if the ppi is not taken off your loan and the loan reset. Did you look at the reasons for mis sell? as that is what you need to put in your letter. Tell welcome that you were mis sold this ppi and you do not believe they treated you fairly when you cancelled and they gave you the small rebate. They are extracting the urine here BIG TIME.

scrappy04

Well, thank you for your advice, slwoly think I'm getting somewhere.
Firstly, what is the FOS please?

Secondly, I have, today, posted a letter to WFS explaining that i feel it is unfair to pay a lump sum and that I have cancelled my direct debit with immediate effect until I have been sent the terms and conditions of PPI...i never recieved this document.

It seems WFS expect me to pay for thier poor management of PPI contracts. As you rightly say, I am paying monthly to protect monthly installments. It's not my problem that WFS setup the PPI by paying a lump sum.

The loan no longer exists as i VT'd the car to them, the only amount remaining is this approximate £1000 for a PPI "lump sum". I am not prepared to let them have it!

amersall

scrappy04 wrote: »

Well, thank you for your advice, slwoly think I'm getting somewhere.
Firstly, what is the FOS please?

Secondly, I have, today, posted a letter to WFS explaining that i feel it is unfair to pay a lump sum and that I have cancelled my direct debit with immediate effect until I have been sent the terms and conditions of PPI...i never recieved this document.

It seems WFS expect me to pay for thier poor management of PPI contracts. As you rightly say, I am paying monthly to protect monthly installments. It's not my problem that WFS setup the PPI by paying a lump sum.

The loan no longer exists as i VT'd the car to them, the only amount remaining is this approximate £1000 for a PPI "lump sum". I am not prepared to let them have it!

FOS, is financial ombudsman
http://www.financial-ombudsman.org.uk/consumer/complaints.htm
Send a letter to fos and welcome, saying that you were mis sold this ppi and as that is the case, then you want the ppi taken off your loan.If you put a claim in for mis sell with welcome, then photocopy the paperwork that welcome sent you regarding this, to fos and welcome. Just stand your ground with this. Did you win mis sell? as in your first post you said you put a letter in for mis sell with welcome.

amersall

scrappy04 wrote: »

Thank you.
I cancelled the PPI and made a complaint that I was misold PPI.

I got approx. £300 rebate from the PPI and upon cancelling, the Pro-Rata system knocked off about £200, so I still owe them £1000 for PPI that I do not want/need. Can I refuse to pay this final sum? The lady at WFS told me that when PPI is taken out by the customer, WFS pay the PPI company a lump sum and it is that sum that you end up paying upon cancellation.This is bull, if you were mis sold then this whole ppi should have been taken off this loan. Your mistake was canceling this ppi,now you will have to go mis sell.

I have cancelled the PPI, no longer have/own the car and just want to stop paying out money to WFS.

Is there anything I can do please?

scrappy04

Just thought i'd say that THe FSCS agreed WFS was in default and that compensation has been paid and the Debt cleared. Thank you for you help guys, really appreciated!
New thread opening up in a minute, because although they wiped the debt, there appears to be a Default notice slapped on me...with no pre-default warning...