First Plus Offer letters issued

Niggly_2

MUM40 wrote: »

Niggy,

phoned FP today and said that my figures look incorrect, lady got senior manager to check and guess what they are incorrect. now awaiting for a new offer and will let you know.

thanks for your help, we would of normally just signed the acceptance letter.

Okay then 11 offers I have checked found 9 to be incorrect which FP have said oops too :mad::mad::mad::mad::mad:

As amersall says my bill will follow £0 plus 15% VAT.

Glad I could get the bill down a bit more. Fundementally though they are still adding on too much less the error I have spotted. One of my fellow FPers has gone to the FOS with some choice questions today.

Hopefully I can scythe down the inadequate offers so far and get FP to at least acknowledge the cash back was their fault and thus negate all future charges at 0% meaning yes you pay the cashback you have been given by them but at 0% APR. this will reduce the repayments still further.

N:beer:

MUM40

niggy,

thanks for your help with this, and I will follow this thread with interest.
you have checked 11 offers and only 2 are correct, not very good from FP.
will put new details on once received from FP
Wonder how many people have just signed their acceptance letters without checking?

robbiepeck

We got our offer through today and it goes as follows...

Original loan - £62,000
PPP loan - £15,183.80
Interest - 9.06%
First payment - 1st May 2006

Current interest rate is approx 10.6%

Our loan is 63ish months in to a 300 month term.

A...Refund of payments made for PPI - £7303.10
B...8% per annum simple interest - £1670.98
C...Amount of Arrears offset - £4079.66
D...TOTAL refund (=A-C) plus a separate check for B - £3223.44

The following calculations show how the refund will effect my loan:

D....original PPI policy - £15183.80
E...Interest incurered due to PPI - £8222.64
G...Total value of loan reduction for PPI premium + interest - £23406.44

H...Outstanding balance - £81704.72
I...amount of arrears - £4079.66
J...Loan balance without PPI (=H) - £81704.72
K...NEW MONTHLY LOAN AMOUNT £559.10

The offer letter has only one option:

Apply the payment of £7303.10 to the balance of the loan in full & final settlement

Not receive a refund of the monthly paymentsmade towards the PPI & the loan account will be rescheduled accordingly - reducing payments

we will receive 8% £1670.98 by Cheque

Offer explenation:
We will credit the monthly payments made towards the PPI less any outstanding arrears to the account & then apply the interest paid on the insurance premium plus the full premium to your loan balance. This will result in a reduction of your loan balance & monthly payments which will be greater than option 1, but no immediate refund will be made. The monthly payments due will then be re scheduled accordingly.

WOW.

Niggly_2

robbiepeck wrote: »

We got our offer through today and it goes as follows...

Original loan - £62,000
PPP loan - £15,183.80
Interest - 9.06%
First payment - 1st May 2006

Current interest rate is approx 10.6%

Our loan is 63ish months in to a 300 month term.

A...Refund of payments made for PPI - £7303.10
B...8% per annum simple interest - £1670.98
C...Amount of Arrears offset - £4079.66
D...TOTAL refund (=A-C) plus a separate check for B - £3223.44

The following calculations show how the refund will effect my loan:

D....original PPI policy - £15183.80
E...Interest incurered due to PPI - £8222.64
G...Total value of loan reduction for PPI premium + interest - £23406.44

H...Outstanding balance - £81704.72
I...amount of arrears - £4079.66
J...Loan balance without PPI (=H) - £81704.72
K...NEW MONTHLY LOAN AMOUNT £559.10

The offer letter has only one option:

Apply the payment of £7303.10 to the balance of the loan in full & final settlement

Not receive a refund of the monthly paymentsmade towards the PPI & the loan account will be rescheduled accordingly - reducing payments

we will receive 8% £1670.98 by Cheque

Offer explenation:
We will credit the monthly payments made towards the PPI less any outstanding arrears to the account & then apply the interest paid on the insurance premium plus the full premium to your loan balance. This will result in a reduction of your loan balance & monthly payments which will be greater than option 1, but no immediate refund will be made. The monthly payments due will then be re scheduled accordingly.

WOW.

tHIS IS SO WRONG I DONT KNOW WHERE TO BEGIN. hAVE YOU HAD THE CASH BACK? i KNOW SILLY QUESTION BUT HUMOUR ME.

tHANKS iAN

robbiepeck

No cash back - Thats why I put in my complaint.

I think they've pulled numbers from a hat!

The arrears is an agreed 18 months paying £225 approx per month less due to redundency.

Niggly_2

robbiepeck wrote: »

No cash back - Thats why I put in my complaint.

I think they've pulled numbers from a hat!

The arrears is an agreed 18 months paying £225 approx per month less due to redundency.

I will do the calcs for you based upon what I know so you can go back to them. How many more are going to be wrong:mad::mad::mad::mad:

robbiepeck

Great, thanks really appreciate it.

buddylove37

Niggly wrote: »

I would have expected the new figure to read More like £201.59 as this is 20% reduction.

Me thinks a typing error. I would ring back and tell them that future payments will decrease by 20% and then it should be £201.59 not £210.59.

Here we go again:mad:

N:beer:

Thanks for checking this Niggly appreciate it.
I'll phone them today.

MUM40

Niggy,
I have now located the original docs and the figures are:

Loan GBP 60.000.00
ppi gbp 11,958.00
number of payment 180
first payment 28th august 2005
payment: loan: GBP 627.11
PPI payment: GBP 124.99

Current payment 785.00 @ 10.7% interest

I have also edited my original post with new updated figures, can you please check these and let me know if these are okay. I'm thinking that our payment should be reduced by 124.99 per month, as we have no PPI cover?

thanks a lot for all your help.

debasur

Niggly
could you please look at the offer i have received today to check if it seems ok. The one problem i think is there is that the 8% interest per annum seems to be only for one year. Should this be per year from when i took the loan, the period the loan was running or the period from when it was paid off to now?

A.Original PPI Policy £6975.50
B.Interest accrued due to PPI £1380.75
C.8% simple interest £655.09
DLess early settlement £691.26
F.Total Value of refund=(A+B-D)excluding C £7664.99.

Add on C. 8% simple interest and grand total is £8320.08


Loan was for £35,000
PPI £6975.
Taken out in July 2005 and settled in April 2008.Looking back in the paperwork from SAR request early settlement rebate was 691.26.

I got a F in maths at school so any help much appreciated