VAT on PPI reclaim

opsman123

I used a company to reclaim my PPI and they recovered £4460.
I have to pay them 30% I have no problem with that but on top of the 30% they are charging me 20% VAT
So I am paying £1338 plus £267 VAT
Is this right.
I would appriciate any advise

dzug1

Sounds at least potentially right. Depends on what their agreement actually says.

dunstonh

Correct. What they do is vatable

magpiecottage

opsman123 wrote: »

I used a company to reclaim my PPI and they recovered £4460.
I have to pay them 30% I have no problem with that but on top of the 30% they are charging me 20% VAT
So I am paying £1338 plus £267 VAT
Is this right.

No - 20% of £1,338 is £269.

dzug1

magpiecottage wrote: »

No - 20% of £1,338 is £269.

Um it's £267.60

SLS722

Hi I too have used a company in the UK to reclaim my PPI and am okay with the fee 25% plus 20% VAT (works out 30%) - but I live in Jersey and we do not have VAT - can they still charge me this does anyone know?

ppi-advisor

Hi Opsman

Did the claims company not explain the Fees on point of pitching the PPI claims to you. They should have explained how the Fees working and wether the amount they charged included VAT or not.

If they didnt I would write a complaint to the claims company and request a copy of the call recording at point of sale if they dispute the complaint or insist that they told you.

Also is it mentioned in the Terms and Conditions of claim you should have recieved and signed for them?

JasonLVC

SLS722 wrote: »

Hi I too have used a company in the UK to reclaim my PPI and am okay with the fee 25% plus 20% VAT (works out 30%) - but I live in Jersey and we do not have VAT - can they still charge me this does anyone know?

Your invoice should not be subject to VAT.

Jersey is outside of the EU for VAT purposes and you are being provided with a service by a UK business who should not treat the invoice as outside the scope of (UK) VAT and therefore, no VAT is charged.

MissCI

From one Jersey Bean to anyone else on the Rock, who is thinking of using a Company to claim PPI........DON'T!!! ANYONE of basic intelligence can do it themselves. Just follow the details on this site, DON'T FALL AT THE FIRST KNOCKBACK, and keep going. It's your money! I'm no brainy lady but I've just followed the advice to claim and I had my first PPI claim payback. I will now be going for the others. PS. I followed this site when Bank Charges claims came in, and received £11,000. I did it myself and so can you! Don't doubt, you CAN do it yourself :-)

eddieunwin

I almost went through a claim back firm myself after being told there were no hidden costs, a flat 25% of any successful claim, they sent paperwork out for me to look at & fill in but then I spotted that 20%vat would also be deducted on the whole amount awarded on a claim. Sod that!

Julcamp

Hi, I just received the great news that a ppi company has been successful in my claim. But, they will be charging me 25% + vat. When I had a copy of the break down cost from the bank, they had already charged 20% on the amount. Should I be paying tax twice on the same amount?