Setlement figure for loan

SherlockAndSlinky

Hello
I would appreciate anyone who can give me advice. Very new to this so bear with me ....

Three years ago, we took out a loan for 7,500.00 pounds with a PPI of 1,324.65 pounds. Which is a total of 8,824.65 pounds.

total amount including interest on that loan is 9,132.30 pounds which includes the interest of 1,632.30 pounds.

The PPI loan in total was is 1,612.80 pounds which includes the interest payment of 288.15 pounds.
Total interest of loan 1,920.45

We took the loan out on 1stOctober 2008 - The period of the loan is 30 months - apr is 17.05% - 2 monthly payments of 358.17 pounds have been made -- Payments of 30 pounds each month from then on have been made because of redundancy and unemployment (which lasted 2 years only) still paying this amount because we accumulated some debt during the 2 year redundancy period and now paying our creditors...

We are now in a position to pay the money back and we are looking for a settlement figure. The Claims Guys called us a week ago and have managed to negotiate a figure for the PPI which is below the value of the PPI they sold it for...the settlement figure is 1,198.85p ... The Claims Guys want 30% cut of that figure. I thought that was a bit excessive and I'm not sure if the settlement figure is fair.

I called the loan company yesterday myself to negotiate a settlement figure for the loan -- they have agreed to settle for 7,212.00 -- I have no idea if that is a good figure or not and I'm reluctant to get The Claims Guys involved because a 30% cut of that figure will be pricey.

I think if we accept that figure we pay more back than the original loan? Not taking interest into account though. Maths isn't my subject, sorry guys :doh:...hope it all makes sense

What do you guys think? Any advice?

jonesMUFCforever

Do not pay anyone for something you can do yourself.
Get a written settlement figure -(this will include a pro rata refund of PPI) and settle.

If you then think that PPI was missold to you start a claim separately for this.

SherlockAndSlinky

Thanks for your advice

I forgot to mention that the settlement for the figure for the PPI is going towards the arrears on the original loan. Forgot to mention that and actually just saw it.....

The PPI was mis-sold but I'm reluctant to take this to court because of the expense it might incur . Dont want to come out of this worse off than I am already.

jonesMUFCforever

Then pay off the loan and start a new PPI claim.
Anything they have refunded to the old loan will be taken off any successful claim - you do not have to go to court - start by writing to them stating the reason why you think the PPI was missold and take it from there.