Sorry, another refund check question!

bex2012

After emailing MBNA's CEO, I finally got an offer this afternoon. They are offering:

PPI and associated interest: £2100.02
8% amount: £979.37

Total amount payable: £ 3079.57


which doesnt sound right to me (or maybe Im just being greedy and expecting too much... maths really isnt my strong point!). Would someone be really nice and double-check for me?


These are my loan figures:

Loan amount: £15800
PPI amount: £2807.12
Total amount: £18607.12
APR: 6.9%
Monthly APR: 0.575 (6.9 / 12)
48 months/ 4 years
Monthly repayable amount: £442.90

By my calculations the PPI amount per month was £91.03 (2807.12 / 48)

I made 16 payments before clearing the loan (16 x £442.90 = £7086.40).

The settlement figure of the loan was £12288.

If I hadnt had the PPI, the figures would have been £351.87 per month (£442.90 - £91.03), over the 16 months: 16 x £351.87 = £5629.92

So am I right in thinking that they have to refund the 16 x 91.03 = £1456.48 PLUS £1442.08 (£7086.40 - £5629.92 = £1442.08) which is the difference between the loan with and without PPI.
£1456.48
+£1442.08
= £2898.56

Then obviously the interest from each PPI payment needs to be added, plus the 8% statutory. I put all the info in the CAG ppi calculator, and it was bringing the refund due at over 5K!

di3004

Well done on your success.:beer:

If you post about calculation help on the above "How the FOS calculates refunds" maybe someone will be along to check these out for you on that thread, good luck.

bex2012

Thank you very much Di, I didnt realise that is what that thread was for!