NRAM Offer - Help Please

Barlind

Hi Everybody, could some body advise please.

I applied for a loan in June 2007 which contained PPI, the capital loan was for £7322.40 including interest, the PPI policy was included in the cost of the loan for £3879.60 including interest. The loan payment was £93.35, broken down £61.02 cash loan and £32.33 on PPI premium the APR was 8.4%.

I paid the loan in full after about a year, NRAM has offered the following:-

PPI Payments Made, inc interest charged on them £307.06
8% Simple Interest £105.14
Total Offer £412.20

I thought they had to pay back in full the actual PPI Policy charged to the loan and the interest, is this correct should i decline the offer?

Any advice would be much appreciated.

dunstonh

As you repaid the loan early, the redemption figure at the time would have included a refund on the PPI premium. So, you have already had a part refund in the original settlement. Now you are just getting the difference back plus interest.