welcome finance ppi refund

Judex_paul

Hi - Have only learned that I may be able to claim refund of ppi from welcome finance. Can I do that and how if I only have account details, dates and amount paid for period of last 4 years, when loan was settled? Help and advice gratefully received.

Thanks
Judex paul

amersall

http://www.fsa.gov.uk/Pages/consumerinformation/consumer_contact/index.shtml
Give fsa a ring and i they will give you guidance on what the next step should be.
Please let us know how you get on.

di3004

Hi there

You can make a claim I believe with the Financial compensation scheme (FSCS). This is because Welcome Finance are now in default.
When did you take out the loan/year?

Contact details of the FSCS here.
http://www.fscs.org.uk/contact-us/

http://www.fscs.org.uk/news/2011/march/fscs-declares-welcome-financial-7pghpepm/index.html

Was it Welcome Finance that actually set up and sold you the loan?

lem01uk

I have just received my FSCS claim forms, I am unsure whether to fill them in because I will then be bound to have any successful claim deducted from my current loan (which I feel is totally unjustifiable). It wouldn't be so bad if they even reduced my monthly repayments because of the removal of the PPI.

I wonder if I should hang back just now to see if anything happens regarding the claim managment companies challenging this FSCS decision.

Any help would be greatly appreciated.

the_knitting_drummer

lem01uk wrote: »

I have just received my FSCS claim forms, I am unsure whether to fill them in because I will then be bound to have any successful claim deducted from my current loan (which I feel is totally unjustifiable). It wouldn't be so bad if they even reduced my monthly repayments because of the removal of the PPI.

They will only deduct it from your loan if your are in arrears, and if you are in arrears, can I ask why do you feel it is unjustifiable?

I wonder if I should hang back just now to see if anything happens regarding the claim managment companies challenging this FSCS decision.

??? I think you may have got the wrong end of some stick here?

amersall

If the fsca give you a "win" you should give this off your loan (how do you know that any "win" will be taken off your loan?), in the long run if you dont then you will pay your "win" back and more, as the ppi is still on your loan until end term with interest, and that i am afraid will cost you a lot more than your original amount that the fscs award you.
It is the british bankers association that have taken the fos and fscs to court not the claims cos.
You should fill the forms in and send them back, you were mis sold with welcome and that is your money.

lem01uk

Firstly, I am completely up to date with payments on my loan with Welcome, this is why the new FSCS are completely unbelievable.

The FSCS have formulated a new set of rules regarding Welcome PPI claims. According to the FOS you should "be put in a position as if you had not purchased PPI". This should mean that any payments that have been made are returned to you and your monthly repayments are restructured to a lower amount over the same loan term. The FSCS however have decided that all claims, (I currently have 5 with Welcome) even if the loan that they are regarding is settled, are deducted from any outstanding balances.

Reading other posts if a loan agreement is to be changed both parties must agree to this (which I definitely do not). I was hoping to at least get my current repayments cut and in the future I would be hoping to overpay to settle the loan early.

The FSCS say that Welcome Finance are in default, but they have not advised Companies House of this.

If you look on the FSCS website it has a section regarding Welcome Finance which states this "offset" rule on several occasions.

On other websites it has been mentioned that the big claim management companies are waiting for the FSCS to try this new "rule" and then they will challenge it (they cannot do this until they actually try to offset a client's compensation), that is why I wondered if I would be better to hang off and see what happens.

Sorry for the rant, but I feel that I am due compensation of some sort for the mis-selling of these policies.

amersall

Hi there, i understand what you are saying, but you will not get a mis sell as such with FSCS, they work in a different way to the fos. They are not there to say "you were mis sold" they are to compensate you for a company going into default. Your loan agreement will remain the same as this is compensation and not a mis sell, you agree to a new agreement when you win mis sell with FOS and your ppi is taken off your loan and the loan reset, this reduces the monthly payment by the ppi amount and any ppi payments you have made to date are returned to you. This is the difference with what is happening with your loans.
This would make me very angry too, you were mis sold without a doubt and you should be given true redress.
If you are compensated for all 5 loans, then surely the money you get back for these would reduce any loans you have currently and you would be even nearer to settling these than to have the money paid back to you and still pay the loans back?. Have you actually asked FSCS why you wont get the ppi payments made to date back to you? as if you had not had the ppi in the first place then you would not have been paying this money to welcome, so in effect you should get these back to you?. For 100% clarification, you should ring FSCS (if you have not already) and ask them why this will not happen.

the_knitting_drummer

lem01uk wrote: »

Sorry for the rant, but I feel that I am due compensation of some sort for the mis-selling of these policies.

Not at all, thank you for the rant, it was very helpful.

Can you post any links to this mention of claim management companies planning on challenging it?

lem01uk

Have just spoken to Welcome, when you phone FSCS they just fob you off to Welcome and they have confirmed that the total compensation for all loans will be deducted from my current loan. More unbelievable is that my current repayments will not reduce.

I am struggling to pay at the moment and to not have my current repayments reduced is, I feel, most unfair.

The link to the other site is Legalbealges (can't post link). I have been receiving advice there as well.

Thanks everyone for your help, now feeling very despondent regarding this. Feel as if I should just give up.

the_knitting_drummer

lem01uk wrote: »

More unbelievable is that my current repayments will not reduce.

If it makes you feel any better (not that it will), before going into default Welcome wouldn't have reduced your payments with a successful refund anyway. They would have reduced the loan term instead.