Delayed compensation settlement

jimba_2

Hello to all

I need some views as to how I can expedite the payment of mis-selling compensation.

Our endowment mortgage complaint has passed thro' the FOS process and we have been awarded compensation February 2006 - binding on the firm.

The compensation was to put us into the position we would have been in had we been sold a repayment mortgage.

Now this is where our problems start in that the firm had until the end of April to make a full settlement and pay the money part of the compensation.

We heard nothing, there was no correspondence from the firm or even an ackowledgement that the matter was being dealt with.

We referred the matter back to the FOS as was indicated in FOS correspondence.

Then in July we received a letter from the firm together with a cheque, the name on the letter was correct but the name on the cheque was completely mis spelt.

The cheque was useless could not be cashed and had to be returned, customer services were of no help, they had issued the documents but claimed that they knew nothing of the detail.

The matter was referred back to the FOS since they are supposedly dealing with this on our behalf. In spite of our fortnightly prompting the FOS for progress, it seems that they do not appear to be able to either coerce or even persuade the firm to meet their obligations in a fair and timely manner.

It now November and we have not received our compensation or any further correspondence of any sort since July.
The firm will not even respond to our letter to them (September) requesting that they write to endowment provider and confirm that they have no further interest in the endowment which in our case is a prerequisite to surrendering the policy.

What possible reason could the firm have for this behaviour?

It would appear to us that the game plan is delay delay, and I suspect that the firm would welcome another complaint since this would provide an opportunity for yet more delay.

There is about 17 months remaining on the policy.

We do understand that when the firm applies the formula to calculate the compensation all payments made by us figure in the final compensation calculation and would be valid on the 'day of the calculation'.

The so called interest for delayed payment would amount to about 14% of the monthly endowment/mortgage outgoing.

We are now in our late sixties and we dont need this hassle.

Now this is a major high street bank we are dealing with.

What can we do to facilitate the compensation payment so we can get on with our lives?

jimba

defender_of_the_weak

Write to the banks cheif exec and tell him/her that you will file the case through the courts if not resolved within 14 days. Point out their own deficiencies and explain that you want a distress and inconvenience payment of 1500 for the last nine months hassle.
This generally perks up the customer service department

jimba_2

Thanks for for the response.

We still not to sure however about the best way forward.
The indication from the July debacle was that the redress compensation had been calculated to be in excess of £15500 but have not received anything in writing.
Anyway the amount it is way above any small claims court limit and we just dont know if they will continue to delay forcing us to start full court proceedings and incur real costs which we cannot afford.
This Big Bank has shown no inclination to follow any timescale guidelines in the handling of disputes in fact they are flaunting the guidelines and we feel we are being abused.

Any one else have any ideas as to a way forward and the best way to do it?

Thanks

defender_of_the_weak

Does the offer include the surrender value? If it does this can be ignored as this is your own money and it would only be the redress amount in dispute. If the award was the full 15,500 then you should still write to the chief exec and legal department as the FOS award is binding on the company. they don't know whether you have the cash to pursue such an action through the high courts and we often see the legal departments keen to settle in such cases due to the potentially high costs. I would also threaten to report them to the regulator for their failures in the handling of your complaint

jimba_2

Thanks again.

The surrender value is quite a separate issue, FP have given an approximate value but will not act until the Bank reliquishes its interest in the policy ( this goes back to pre 88 when the policy was assigned to the Bank at that time). I have written to the bank requesting this but my letter has been ignored - do they want another vehicle for delay?
All in all this is a sorry tale and it cannot be put down simply to overload. there must be some other motive.
I believe the Bank has already done the calculation some time ago but are sitting on it and of course all the time I am paying the endowment/repayment mortgage.
Anyway we have written to the bank chief turning up the gas.