MSE News: Anger at Lloyds PPI compensation delays

Banks0mewin

HI,

Have any of you seen the statement on the front of the website regarding Lloyds Banking group.

It states ' How long is compensation taking?

The government-backed giant admits those due money back for mis-sold cover on a Lloyds TSB loan may not get their cash for approximately 56 days after an offer – double the intended wait – due to the huge backlog of claims it is sifting through.

However, as some of our forum users state, delays can be longer than 56 days.-You are not wrong currently on day 64!

Lloyds Banking Group, the parent company of Lloyds TSB, insists PPI redress on its other products, which include those from Halifax and Bank of Scotland, should fall within 28 days, the period set by providers as part of a 'gentleman's agreement'.I am awaiting payment for 3 CC's refunds more than double that time frame at the moment!

City watchdog, the Financial Services Authority, says payments must be "prompt" following an offer, but does not set a rigid time-frame.PROMPT- not!

Additional compensation promised

The Financial Ombudsman Service, which arbitrates in disputes between banks and their customers, says providers must pay any interest due on compensation up to the point of payment.

Lloyds confirms it will make those interest payments and offer additional redress "on a case-by-case basis".

So those whose payments take over 28 days after an offer should make an extra claim.'Would be nice to receive anything!

If this is the case why am I and many others still enduring waits of more that 60 + days on Halifax CC's. This is disgusting they are now trying positive publicity tactics, when we all know the facts!!!

I am absolutely amazed at this bank's statements!!!

Banks0mewin

Come on MSE, why were there no more questions regarding the delays in payment, there are multiple members of the forums waiting for their promised upheld payments from this organisation. MSE was the interviewer on this occasion and I feel let down that the opportunity was not taken to push Lloyds further on making payments. :-(

Waiting over the 56days is unacceptable let alone 64days!

Maria_Taylor

I rang Lloyds TSB after receiving their offer for PPI ( letter dated 8th Sept), I was initially told that the cheque will take 4-6 weeks to be issued, rang again after 4 weeks and was told that they have extended the wait for a further 4 weeks which I think is ridiculous. I am still waiting.....hope not forever!!!!!!!!!

BlackSkyuk

Hi, is the 56 days wait, 56 days or 56 working days?

Esoog

Working, not that it matters! You'll be waiting a lot longer than that anyway

beamerguy

WHAT TO DO WITH THESE BANKS WITH EMPTY PROMISES

Once you have an offer of repayment that becomes a contractual promise and a contract.

If you have not received your full refund within 28 days, write to the bank stating that they are now overdue and failing an immediate payment you will issue a county court summons which will then add costs.

With the reclaiming of bank charges, there was a case with Natwest by a Reading man. The bank did not turn up at court so he won by default. Natwest ignored all this so he requested the bailiffs called.
This was Natwest, Tilehurst Reading.
The bailiffs called and after a fair bit of disruption, Natwest paid the bailiffs.

The manger of Natwest Tilehurst now ensures that before he goes to work in future, he dons a pair of nappies, just in case ???

src007

Where have MSE got this ''28 day'' deadline from? Its completely made up. 2 months is actually normal and whilst not a great time scale its reasonable when a bank is dealing with massive volumes of complaints.

Whats amiss when the bank are actually trying to correct things? Unless you want them to be ''wrong'' no matter what?

leclerc

I have in writing(will forward to MSE) about 21 working days. It's currently 40 working days and LloydsTSB have got no further towards completing the task of repayment of PPI having already admitted misselling.

@beamerguy, the bank charges issue today would be dealt with differently and there have been cases of PPI losses going through the county court. I would be very careful about taking a delay in payment through the court because you might have to defend a PPI case. Furthermore, if you issue a case through the court that could possibly lead to you losing your case in court. If you have examples of this strategy working in real life excluding bank charges(cos that would never happen today) then please tell us because otherwise it's a dangerous thing to even suggest as someone might do that and lose their whole case.

PaulaG1980

Well just like everyone else I am also still waiting for my PPI cheque from Lloyds. £15.5k is owed back to me! I started my claim in May this year and got an offer letter on the 16th Sept with my calculations and interest paid up to 13th October. I put my mobile number down for updates on the case (to date I've never had one!). I have sent email after email, called the complaints centre around 10 times to me answered by unhelpful and rude staff who wouldn't tell me anything but 6-8 weeks and that the refunds team won't gve them any dates. I've emailed Mrs Barry who won't answer me either. As the loan is still live they haven't changed my payments yet which means I am still paying PPI. I am totally at my wits end now and really starting to get totally fed up. I can't believe that they are getting away with this to all their customers and I have been a LLoyds customer for 16 years! When we recieved the offer letter we were overjoyed and decided to invest the money into house renovations. Thinking the cheque would be soon we started obtiaining quotes for a new roof etc and now we are on hold. Please what can I do now, I am at my wits end with all this and I daren't start complaining about the latest loan payments with PPI incase they delay everything even further. How can they get away with this?? It's not our fault it's theirs!:mad:

magpiecottage

As has been said earlier, the problem is that the banks simply do not have sufficient competent staff to do the work. This is not simply a case of not recruiting enough but they do not exist so there are inevitably queues.

What can you do about it?

Well in theory you could take them to court. You could even apply to have the bank wound up if you are owed more than £750 following a decision in your favour by an Ombudsman (making it a legally enforcible debt) but that will not make it any faster.

They are undoubtedly moving as fast as they can - if only because the interest they must pay on it is more than they are likely to make by lending it out so it will cost them more.

If you put obstacles in their way it MAY make things faster but it is more likely to slow things down.