Lloyds ppi interest calculations

joolsh

Thank you moneysavingexpert after following your advice my partner have received two offers of compensation for two PPI policies that were paid monthly from 2005 and 2006 however I have queried the amount of interest payable at 8 percent.
Lloyds have so far advised the figures are calculated through a computer but have yet to provide me with the formula .As a result they are sticking to one calculation and yesterday withdrew over £500 from her account without telling her after realculating the other offer. I have phoned the FSA but they are unable to offer any advice and I do not want to waste their valuable time.

amersall

Hi there, if you post up the figures and if these were loans or credit cards,the monthly ppi payment duration and apr, also post the offers you were made and someone will calculate this for you.

joolsh

Car loan commenced 13 jan 200 for £15500

monthly payment £237.63

ppi insurance £3773.67 , monthly payment £57.85

number of repayments 84

apr 7.7 %

total car loan amount repayable £19960.92 plus

£4859.40 ppi with interest


offer mid july 2011 ppi premiums to date £3368.36

interest offered £872.08

lloyds have advised on the phone the monthly figure for interest has been calculated at £25.75 but cannot explain the formula

further to my first message , lloyds have stated the £500 taken from the account is not from the other policy payout but is for missed payments for the above loan .

They have stated they have made a mistake and refunded the money but the following day a further call stated the account was in arrears
my partner is now writing a letter of complaint and it is still not known if they intend to take the money out again.

So not to complicate the issue i have just included the loan where interest is in dispute.

feebe

My husband & I have 3 Lloyds loans all with PPI.
I phoned them just after the judgement and logged claims for refund of PPI as they were definitely missold.
I have now had an offer to repay all PPI payments + interest at 8%, less amounts I claimed on PPI in 2007 on my 2 loans. They only give examples of other refunds none of which are directly comapable so I find it impossible to calculate how much my refund will be. They only tell you how much AFTER you have written to accept the offer.
Surely this is unacceptable - they should tell you exactly how much they are going to give you .
Does anyone have a formula to calculate and IS IT A GOOD OFFER ?? SHOULD WE ACCEPT ??

roonaldo

feebe wrote: »

My husband & I have 3 Lloyds loans all with PPI.
I phoned them just after the judgement and logged claims for refund of PPI as they were definitely missold.
I have now had an offer to repay all PPI payments + interest at 8%, less amounts I claimed on PPI in 2007 on my 2 loans. They only give examples of other refunds none of which are directly comapable so I find it impossible to calculate how much my refund will be. They only tell you how much AFTER you have written to accept the offer.
Surely this is unacceptable - they should tell you exactly how much they are going to give you .
Does anyone have a formula to calculate and IS IT A GOOD OFFER ?? SHOULD WE ACCEPT ??

a refund of premiums and the 8% interest is the correct refund, they are only doing this at the moment without specific figures to clear there back log. yes you should accept, you wont get any more.

calculator here,
https://skydrive.live.com/?cid=ab205ad5e31a8810&id=AB205AD5E31A8810!151