DMP with Payplan, claiming PPI via their associated company.

magpiecottage

Payplan_company_representative wrote: »

At Payplan we do have a preferred claims management that we refer our clients so. Many of our clients do not feel comfortable in speaking to their creditors and therefore need the support that a claims management company can offer.

There seems to be a conflict of interest there.

The reality is that Payplan COULD simply provide its clients with a copy of the FOS questionnaire or a link to the FOS questionnaire and explain that they need to download it, print it off, complete it, take a copy and pop it in the post.

Instead, it seems to be advocating using its own claims management company - thus generating more revenue for itself by incurring unnecessary expense to those clients.

What is the word for that? Oh yes - MISSELLING.

The company that we refer to charges a fee of 12% +VAT which is the lowest in the market.

I believe that Financial Ombudsman Service Limited will assist complainants for 12% less than that, as will a group of volunteers working for something called the moneysavingexpert.com forum.


I suggest that if the OP can find a link to the FOS questionnaire she downloads it, prints off, copies in respect of each card she thinks she had PPI on, completes them herself and then pops them into the post to the relevant lenders (remembering to keep a copy for her own records).

Payplan_company_representative

We always give clients the chance to make an informed decision by explaining the options available to them - those being that they can pursue a claim themselves with the assistance of FOS or with the assistance of a claims management company. We do not recommend a course of action we only present the choices.

As mentioned in our previous post a lot of our clients do not feel comfortable dealing with their creditors and prefer to use a claims management company. The company we recommend offers one of the lowest charges in the industry.



With clients in debt we want to introduce to them a solution that may suitable for them, and part of this means ensuring they do not end up using a claims management company that charges a far higher rate.


Both Payplan and our associated company are fully compliant with the rules and regulations set out by the Ministry of Justice.

dunstonh

At Payplan we do have a preferred claims management that we refer our clients so. Many of our clients do not feel comfortable in speaking to their creditors and therefore need the support that a claims management company can offer. The company that we refer to charges a fee of 12% +VAT which is the lowest in the market.

So, the borrower has to find the 14.4% out of their own pocket to pay the claims company you prefer for doing something that is free of charge. Plus, the borrower may not see some or all of the money as it may not go fully or at all against the current debt but be used against reduced/written off debts. Therefore leaving the individual with a bill for 14.4% when they already have financial problems and it may not help them save a penny.

As mentioned in our previous post a lot of our clients do not feel comfortable dealing with their creditors and prefer to use a claims management company. The company we recommend offers one of the lowest charges in the industry.

Filling out the FOS questionnaire doesnt cost a penny and doesnt require them to talk to their creditors as it is sent in the post. The claims company will get them to fill out the FOS questionnaire or their own branded version of it and send it in the post. First method is free. Second one costs.

Both Payplan and our associated company are fully compliant with the rules and regulations set out by the Ministry of Justice.

Do you disclose how much money you get for referring people to the claims company?

Aidanb_2

Hi,

I was with Payplan and was contacted at the end of the iva about claiming ppi back I was told that the company would get 30% of the total I would keep the 8% interest on it and the rest would go to the creditors against my debt I declined this offer as I wasn't interested as I was waiting for completion cert and would have dragged that out. I was told I could claim myself but was told that there is a risk I could get nothing back at all. I agree with the views of people on here don't go with them do it your self from what I have read the cheque will either go to Payplan to distribute out or the company will off set it against your debts either way you are paying your debts off a bit more and not lining the pockets of grubby claims companies.

Aidan

magpiecottage

dunstonh wrote: »

leaving the individual with a bill for 14.4% when they already have financial problems and it may not help them save a penny.

Since this advice from Payplan is clearly very poor, I recommend anybody who has followed it complain to them.

Under the Consumer Credit Act 2006, Payplan then has to follow EXACTLY the same dispute resolution rules as the firms to whom the complaint was made.

Lucy5781

OMG

All I said was that I was going to enquire about it.

Have not agreed to anything.

Did not expect to have someone outright calling me stupid for exploring my options and seeking advice for it.

Apalled at your nasty attitudes.

Lucy5781

Lucy5781 wrote: »

I've been on a DMP with Payplan for most of this year, all good.

Have decided to at least enquire about PPI via Payplan's affiliated company (have forgotten the name, sorry!) on the cards included in the DMP with a view to using any potential pay-out towards clearing the debts.

I have four cards from 2006-2008, originally Egg, MBNA and two from Halifax.

Has anyone else done this/had any success with Payplan's associate co.?

Many thanks
Lxx

Asking for your advice on here does not make me 'stupid'.

Get over yourselves.

[Deleted User]

Payplan_company_representative wrote: »

The company that we refer to charges a fee of 12% +VAT which is the lowest in the market.

magpiecottage wrote: »

I believe that Financial Ombudsman Service Limited will assist complainants for 12% less than that,

Erm, I think you mean 100% less, don't you?:p

[Deleted User]

Payplan_company_representative wrote: »

As mentioned in our previous post a lot of our clients do not feel comfortable dealing with their creditors and prefer to use a claims management company. The company we recommend offers one of the lowest charges in the industry.

I think once tougher regulation of CMCs is introduced your current practice will be disallowed.
Why should your "recommended" company benefit simply because a client does "not feel comfortable dealing with their creditors"?

The complaints process is free to use for all. It should be your responsibility to ensure your clients have the confidence and knowledge to proceed alone.

-taff

Lucy5781 wrote: »

Asking for your advice on here does not make me 'stupid'..

The action, not the person, would be stupid.
If you read the thread more carefully, you'll see that everyone is trying to encourage you to do this by and for yourself.