HFC want to settle by 'crediting my account'??

cbowls30

Hi all

I've had a 'sorta' success with HFC over PPI claim on a credit card i've had for some years with them.

I wrote the letters about 6 months ago, i have been paying PPI on this credit card since 2007 and 'as a gesture of goodwill and providing there are no further claims or legal action they will refund £1809'

Great i thought! result!

but then the small print details that due to an 'outstanding balance' on my HFC account the good will payment will be credited against this outstanding balance'!!????

So, am i write in thinking that i've claimed back mis-sold PPI insurance from them and they now want to take the payment and pay it back to themselves on the outstanding debt from the credit card i was claiming against?!!
is this fair?? i don't think so, admitidly there is an outstanding balance on this card but i think it should be my decision whether or not i use this payment to clear it or not, considering they are settling a PPI claim AGAINST them?!

any opinions much appreciated?!

i feel a letter coming on........

cbowls30

UPDATE; i've been onto the FSO who tell them that HFC can do this if they wish, even though i've also had a letter from barclaycard telling me they are sending a cheque?!
they only thing to do would be to put in a complaint to the FSO and see if it gets me anywhere?!

Has anybody else had this experience?

Common_Sense_2

they 'owe' you money as part of the goodwill payment, you owe them the balance on your card, surely the sensible thing is for them to offset ech against the other.

Anyhoo - FSA guidelines allow this to happen.

Common_Sense_2

cbowls30 wrote: »

UPDATE; i've been onto the FSO who tell them that HFC can do this if they wish, even though i've also had a letter from barclaycard telling me they are sending a cheque?!
they only thing to do would be to put in a complaint to the FSO and see if it gets me anywhere?!

Has anybody else had this experience?

it's down to the company to decide how it wishes to distribute the money.

I wouldn't bother wasting your time at the FOS - it would just delay a genuine case from being seen to.

Just out of interest, what would you do with the money if they didn't off set it? seems silly if you didn't use it to clear your balance and save the interest charges each month!

crazyguy

Its rare but you can sometimes get them to pay you via a cheque still, its worth being persistant with them in the hopes that they may give it to you direct, not guaranteed, but worth a go.

cbowls30

hi
yes i probably would pay off some of the debt but i just hate how banks always seem to somehow sort themselves out one way or another, and it really bugs me that i've put a claim against THEM for mis-selling PPI and they end up benefiting from it?! The account is not at its 'limit' and neither am i in arrears or have missed any payments....
I could really do with paying for my car insurance out of it though as i am struggling to pay for car insurance and need car to travel the 52 miles to work and back every day after getting made redundant from 6 different jobs in 8 years (i kid-you-not)
i will write to HFC and see what they say, can be now harm in a letter...

amersall

Hi there, ask them to give you the 8% as you have been given this because you were deprived of this money.
That is the least they can do,that 8% should be yours.

magpiecottage

cbowls30 wrote: »

hi
yes i probably would pay off some of the debt but i just hate how banks always seem to somehow sort themselves out one way or another, and it really bugs me that i've put a claim against THEM for mis-selling PPI and they end up benefiting from it?!

They are not benefitting from it - that £1809 that you had to pay back to them and pay interest on it until you did. They will not get either the money back or the interest due.

The account is not at its 'limit' and neither am i in arrears or have missed any payments....
I could really do with paying for my car insurance out of it though as i am struggling to pay for car insurance and need car to travel the 52 miles to work and back every day

Can you not put it back onto the credit card then?

byebyeblues

Hi,
Santander have offered to repay my PPI but have included a requirement that it will just pay off my arrears.
I don't have an account with them anymore and I'm repaying steadily via a plan agreed with CCCS. It seems unfair that they do this when this pushed me into more debt than I could repay. They have accepted my monthly payments for 2 years now.
I would like to pay off other financial worries.
Do I have to accept their conditions of payment?

Derwent

cbowls30 wrote: »

Hi all

but then the small print details that due to an 'outstanding balance' on my HFC account the good will payment will be credited against this outstanding balance'!!????

Is the outstanding balance in arrears ? If it is then they are entitled to offset the arrears. However, if the balance is simply a running balance and you have made all of your required payments then they can not offset it in this way and you are entitled to your money back as a cash refund.

FOS rules state that before a lender can exercise its right to set off...

the debt must be due and payable. For example, if a customer misses making a loan payment, then the firm can take only the missed payment – not the balance of the loan.