PPI Reclaiming Discussion Part 5

[Deleted User]

adrianmoffat wrote: »

she defaulted on the loan, is it worth still trying to claim back the PPI she did pay?

If monies are still outstanding then the Bank will use any redress to offset this amount. Your wife would only receive anything personally if the amount of redress was greater than the unpaid debt.

RuthnJasper

adrianmoffat wrote: »

Hi, this may be a bit of a long shot, and it may have been discussed previously but the threads are so long it could take quite sometime to read everything.

My enquiry is... My wife took out a loan from Barclays (before I met her), but she defaulted on the loan because the payments were more than she thought they would be. She kept the original documentation and when I read it I could see there was PPI included in the loan but she had no idea what this was or why she was paying it. She's from the Philippines and was quite new to this country at the time. To me it is quite clear she didn't have a clue she would be paying this. However, because she defaulted on the loan, is it worth still trying to claim back the PPI she did pay?

Thanks for reading.

I'm in an IVA (one year left to go...!!) and have claimed mis-sold PPI (in the front-loading situation which your wife's situation implies) on a few old loans that were/are encompassed within the IVA. However, I have had to supply a letter from my IVA company to the bank against which I'm complaining which states that they are happy for me to pursue the claim.

However, as the rarely-wrong (and admirably Second Coming ) Moneyineptitude implies in his post, I have confirmed with my IVA Provider that any redress will be paid into the IVA. I suspect that, in my particular case, the amount of redress will be enough to pay off the IVA early and still leave me with a modest sum - but my first and foremost obligation is to my IVA provider and the named creditors within the agreement.

If you (and, through you, your wife) have a genuine case then it is ALWAYS worth pursuing.

Whether or not you proceed with your claim, I wish you and Mrs. Moffat all the very best for the future. xx

Eloise32

I need some advice. can you now simply contact the bank that mis-sold PPI by phone to reclaim, rather than writing?

Also, I am considering filing for bankruptcy, however i have a mortgage. I'm fairly sure you can't go bankrupt under these circumstances, just seeking clarification of this.

[Deleted User]

Eloise32 wrote: »

I need some advice. can you now simply contact the bank that mis-sold PPI by phone to reclaim, rather than writing?

It very much depends on the Bank. Personally, I prefer a complaint in writing because it provides a proper audit trail and the complainant can be certain that the complaint will be considered as written. There have been reports of operators misunderstanding telephone complaints.
Do be aware that if you go bankrupt, any PPI redress subsequently awarded will be considered an asset for the Official Receiver.

Eloise32 wrote: »

Also, I am considering filing for bankruptcy, however i have a mortgage. I'm fairly sure you can't go bankrupt under these circumstances, just seeking clarification of this.

You should post on this forum for informed advice on this:
http://forums.moneysavingexpert.com/forumdisplay.php?f=136

magpiecottage

gramochroi wrote: »

Have been thinking about Mark's plight all weekend, but think I may have been a bit innocent? Magpie, pls can you tell me if he has verified his status to you? Just would like to know if I need to be a bit more careful where I spend my mental energy!!!!! Have seen him been accused of being a troll a few times on here.

Nothing - he seems to have disappeared.

Could be a troll. On the other hand I hope he was not genuine and has simply decided to end it all.

magpiecottage

3ninjabottom wrote: »

Hi this is my first time on a forum and hope someone can guide me to the right place to hopefully make a claim.
I took four loans out around 1995, with these loans all from Welcome Finance PPI was mis sold to me..... I was on hard times and a single mother, however I have just tried to speak to a company who deals with PPI's that have been mis sold.... they said that Welcome Finance are not accepting any responsibility for PPI being mis sold to any of their previous customers before 2005.... this is so unfair... is there anyone I can contact please? Your help would be appreciated.

Welcome Finance are in a sort of limbo land.

Technically they are in administration and have no money to pay redress. However they have been accepting complaints about pre 2005 PPI and allowing later ones to be dealt with by the Financial Services Compensation Scheme. That in itself seems wrong. They either have the money - in which case they should deal with all complaints - or they don't and should not address any complaint.

However you have a further problem. The Financial Ombudsman Service cannot deal with a complaint about PPI unless the firm you complain to was a member of a "predecessor scheme" at the time. This includes the old Banking, Building Societies and Insurance Ombudsmen. It also includes the General Insurance Standards Council's code of practice.

Welcome Finance was, I believe, a subscriber to the GISC code but it did not exist until 2001 so a 1995 sale falls outside FOS jurisdiction.

That in turn means your only source of redress would be the courts. They, on the whole, have NOT upheld PPI complaints and, in any case, Welcome can simply timebar court action as the alleged misselling took place more than 15 years ago.

amersall

Mariposa5 wrote: »

Many thanks for your speedy reply but can I just ask how I am supposed to show that I didn't need ppi? Ie do I have to prove that I had good sick pay or savings or do they just have to take my word for it?

The reason I ask is that I have moved jobs several times since then so it would be difficult to prove this.

Many thanks.

As you had several jobs, this could have made claiming on the unemployment part difficult, you have to be in work for 6 months to qualify for unemployment on the PPI, if you had jobs that did not last that long then put that.

If you had savings that you could have used and life insurance to pay/clear the card balance then put that.

Your p60 will show your work record, send copies of these in with life insurance and savings, you need to show that you had no need of this PPI and could repay the card should the worst happen.

magpiecottage

amersall wrote: »

If you have reasons for mis sell, the card number and you had PPI, then put the claim in.

Just show you had no need of this PPI and could have paid this card back should the worst happen and so had no need of it.

Having no need for PPI does not automatically mean it was missold.

You would need to demonstrate that the lender was at fault.

If you had to actively opt out - either by unticking a box that chose it or by ticking a box to indicate that you did not - that would probably result in an uphold.

If the information provided at the time was not clear, or was unfair or misleading that too would probably result in an uphold.

If you simply ticked the box on "autopilot" without bothering to read it, that would be a mispurchase, not a missale and the fault would lie with the purchaser - i.e. you.

magpiecottage

Eloise32 wrote: »

I need some advice. can you now simply contact the bank that mis-sold PPI by phone to reclaim, rather than writing?

Best to complete this form, take a copy and send it off.

Also, I am considering filing for bankruptcy, however i have a mortgage. I'm fairly sure you can't go bankrupt under these circumstances, just seeking clarification of this.

You really need to post on the bankruptcy board about that.

However, if redress is awarded against your lender expect them to first set it off against any arrears or debt written off by them then to pay anything else to your OR.

If you do choose bankruptcy, an ongoing claim becomes a potential asset of your estate and should be declared as such.

[Deleted User]

magpiecottage wrote: »

I hope he was not genuine and has simply decided to end it all.

I think the moderators helped him decide to "end it all" on this forum, by deleting several of his more aggressive and antagonistic posts!

Unfortunately, by continuing to discuss him on the forum, we guarantee he'll return in future (in whatever guise).

"Report and ignore" is the best option.