PPI and same payments

chris14p

I sucessfully reclaimed PPi from citi financial they paid back 1.430 pounds. That was last year the loan finishes may 2013 but the repayments have remained the same can someone tell me how this is as I would have thought they would have come down or repaid early. I am getting nowhere with citi financial as they it is correct.:money:

dunstonh

chris14p wrote: »

I sucessfully reclaimed PPi from citi financial they paid back 1.430 pounds. That was last year the loan finishes may 2013 but the repayments have remained the same can someone tell me how this is as I would have thought they would have come down or repaid early. I am getting nowhere with citi financial as they it is correct.:money:

If they have paid the money to you then it has not been used to reduce the loan. You dont get it twice. You either get it paid to the loan to reduce the balance and repayment or you get to you in your hands as a cash payment and the loan left as is it.

Premier_2

dunstonh wrote: »

If they have paid the money to you then it has not been used to reduce the loan. You dont get it twice. You either get it paid to the loan to reduce the balance and repayment or you get to you in your hands as a cash payment and the loan left as is it.

I think what the OP is asking is why have the repayments not reduced since the payout?

The PPI would have been cancelled as from the payout date (well as from the start really since they repaid the premiums) so the OP is thinking why are the premiums still being added?
The payout would not include premiums not already paid.

I guess the answer is that the PPI was front loaded, and not equally applied to each payment. So the payout did repay the total PPI premium for the term of the product.