PPI Invalid letter of authority

Stuart_Gillespie

Hi all,

Hopefully someone here can help me with this.

I rashly jumped the gun and went down the PPI reclaim company route before finding out how easy it was to do it myself.

My bank has now sent me a letter with a settlement figure which I'm happy to accept. In in the letter however the bank states that it has not contacted the claim company due to an invalid letter of authority.

Does this mean that legally the claim company was not acting on my behalf and where do I stand with regards to fee payment to the company?

Surely this has happened to others but I can't seem to find any info on this elsewhere.

Thanks for your time

S

dunstonh

Does this mean that legally the claim company was not acting on my behalf and where do I stand with regards to fee payment to the company?

No it does not mean that as you have a signed contract and no doubt your complaint went in via the claims company.

jdwmfc

Stuart_Gillespie wrote: »

Hi all,

Hopefully someone here can help me with this.

I rashly jumped the gun and went down the PPI reclaim company route before finding out how easy it was to do it myself.

My bank has now sent me a letter with a settlement figure which I'm happy to accept. In in the letter however the bank states that it has not contacted the claim company due to an invalid letter of authority.

Does this mean that legally the claim company was not acting on my behalf and where do I stand with regards to fee payment to the company?

Surely this has happened to others but I can't seem to find any info on this elsewhere.

Thanks for your time

S

Call your bank and ask for clarification.
Then let us all know.
Maybe you did not sign something.

roonaldo

Stuart_Gillespie wrote: »

My bank has now sent me a letter with a settlement figure which I'm happy to accept. In in the letter however the bank states that it has not contacted the claim company due to an invalid letter of authority.

If I were you, call the CMC and cancel them and tell them you are closing your complaint. Then never speak to them again. Then tell the bank you do not give them authority to write to the CMC to ensure they dont write to them.

The CMC will be none the wiser.

magpiecottage

Did the CMC send you this form, in its entirety, to check, sign and return.

If not, you can argue that because they have clearly ignored the rules of the MOJ, their regulator, they are obviously not fit and proper to act for you.

Stuart_Gillespie

Hey,

Thanks for the responses.

Just to clarify some points made. First the letter of authority is a four page doc with the loan details to be filled in along with a questionaire. The next couple of pages are the legal part with the final page to be signed and dated by me and sent back to the CMC.

As for the Ombudsman form, no it was their own questionnaire and no the one posted.

Here is the part of the letter from the bank showing their refusal to deal with the claim company.

" Please note that details of this final response letter have not been disclosed to your Claims Management Company due to an invalid letter of authority. In order for a letter of authority to be valid, it must contain an original signature, show no sign of alteration and make reference to specific loan accounts held at the bank. "

To my knowledged all I did was fill out the doc then signed, dated it and then returned it. I did not amend it in any way.

The letter of authority is the contract between me and the CMC therefore if it is invalid then does that mean the contract is also invalid?

Thanks, S

[Deleted User]

Stuart_Gillespie wrote: »

The letter of authority is the contract between me and the CMC therefore if it is invalid then does that mean the contract is also invalid?

You're mistaken. The Letter Of Authority is your instruction to the Bank to allow the CMC to act on your behalf in PPI complaints. Your contract is your agreement for them to act on your behalf in exchange for an agreed fee.
All that is "invalid" is the instruction to the Bank and the reason could be as simple as a misplaced digit on your account or as serious as obvious tampering or amendment. Banks are not fond of assisting CMCs (some Banks won't deal with them directly at all) and so it's more likely to have been a minor error on the LOA than anything sinister.


Having said all that, I agree with Roonaldo's comment at post 4 about cancelling the CMC and informing the Bank not to deal with them. Could be an option.

Stuart_Gillespie

Hey,

I would if I didn't have another claim in process with them for a different loan.

Anyway thanks for the help but it looks like I'm just going to have to cough up. My fault for being sucked in in the first place I suppose.

Cheers, S.

amersall

But surely if the bank don't notify the claims co, then they won't know the claim has been paid, especially as the bank are not going to deal with them... will they?.
I would do what roonaldo said.

jdwmfc

amersall wrote: »

But surely if the bank don't notify the claims co, then they won't know the claim has been paid, especially as the bank are not going to deal with them... will they?.
I would do what roonaldo said.

I agree, the bank are not going to snitch, take the money and run!!! Personally I would like to think the bank have deliberately looked for a reason not to deal with the CMC. Would be good if banks were on our side for a change.

ppidisgrace

here's another example of bank dirty tricks
if the form of authority wasnt valid then how could they accept your instruction to investigate the claim
which you won