Interest on ppi

joanne13

Hi all

I took out a loan in 2005 for 1,300 and was charged 760.80 for 'insurance loan'.

The loan was in joint names, yet only my name is shown the as the person insured on the loan agreement letter. Does this mean the ppi was missold.

Also can anyone advise me how to work out the interest on ppi.

Thanks in advance

amersall

If you were the first named borrower on the loan, then the insurance only covered you for all scenarios, the second named borrower is only covered for daeth and this does not constitute a mis sell.

Look here for reasons for mis sell
http://www.moneysavingexpert.com/reclaim/ppi-loan-insurance#step2
If any/all apply to the first named borrower then put a claim in.

The interest on the ppi should be on the agreement and is included in the monthly payment.

If the ppi was added to the loan at the start and you paid this in the loan monthly payment, this is front loaded ppi and is a mis sell reason in itself.

joanne13

Ok,Thanks
This is how my loan agrrement letter stated how the payments were worked out.



Key financial Information (on loan agreement letter)

Amount and purpose of loan £1,761.00
Main loan £1,300.00
Insurance loan £461.00
Total amount payable £2,905.20(Includes £760.80 for
insurance loan)

Instalment Repayments 60 repayments of £48.42
comprising
main loan repayments £35.74
Insurance loan repayments £12.68
Anual percentage rate 24.1%

Total charge £1,144.20(interest-includes
£299.80 for insurance loan)


Is this what you meant by front loaded ppi?

Sorry ,hope the above made sense, not very clued up on all this, but your help is greatly appreciated.

joanne13

I phoned NatWest on thursday regarding ppi on the loan in the above posts.
When asked the reason why I thought ppi had been missold to me, i explained about the insurance only being sold to one person when it was in fact a joint loan.
After reading the posts on this forum, I dont think I was missold for that reason.
So when Natwest get round to looking at my complaint, will they automatically look to see if ppi was missold in any other way, or would that be down to me to find out and then try again.

amersall

This was front loaded this is a mis sell,give them a ring and ask them if they can add this to the complaint.

joanne13

Thanks very much amersall, much appreciated.

amersall

You are welcome, good luck.