Santander (Abbey National) PPI

ParkerX

On 15 October I telephoned Santander about mis-sold PPI included in a loan which commenced in March 1997 and which was paid off in February 2002.

I have now received a letter from Santander which states, " ... having considered your claim and reviewed our records we have decided to reimburse you the value of the PPI premiums paid with interest. Although I am upholding your complaint, my comparison calculation confirms that you have not suffered any financial loss. Consequently, no compensation is due."

The Detailed breakdown of redress shows the following;

A Total cost of the PPI at the start of the loan 616.60
B Total monthly premiums paid until (no date is entered here) 92.34
C Statutory interest on (B) until 31 October 2012 113.13
D Successful claim amount 856.43
E Total Refund (A+C-D) No Loss

I am not really sure, from these details, whether Santander are repaying me anything at all.

A further note, following the detailed breakdown, states, "... as you have made a successful claim on your policy, the total amount claimed will be deducted from your redress payment".

Can anybody explain this to me? What is a "redress payment"? Am I getting a refund from Santander or should I contact the Ombudsman?

Thank you.

di3004

Hi there

Yes they will be refunding you.

Redress means just that, of a refund awarded to you.

Well done! :beer:

ParkerX

di3004 wrote: »

Hi there

Yes they will be refunding you.

Redress means just that, of a refund awarded to you.

Well done! :beer:

Thanks di3004.

I wasn't sure what they were telling me - suppose I was still in shock from them replying on 19 October to a claim I'd only made, via telephone, on 15 October!

Do I need to contact Santander, there's nothing in their letter asking me if I accept their offer or anything?

Thanks again for the speedy reply.

dunstonh

I am reading that as you won your complaint but because your claim on the policy paid out more than the redress that you are not going to get a penny.

i.e. Your redress was £822.07. However, your claim paid out £856.43.

Rather than ask you to return the money from the claim they are effectively writing it off and they pay you nothing and you dont have to return any money to them.

ParkerX

dunstonh wrote: »

I am reading that as you won your complaint but because your claim on the policy paid out more than the redress that you are not going to get a penny.

i.e. Your redress was £822.07. However, your claim paid out £856.43.

Rather than ask you to return the money from the claim they are effectively writing it off and they pay you nothing and you dont have to return any money to them.

There was no claim on any policy. This is all in respect of a loan.

dunstonh

They seem to think you did claim on the policy and they paid out £856.43

JuicyJesus

Yes, what it looks like is you took advantage of the PPI, which paid out £856.odd. You are complaining that the policy was sold wrongly and so should never have existed. They agreed, and so they have to put you back into the position you were in had the policy never existed (redress). To do that they would have to take back the £856.odd they paid out on the claim, which is more than the policy actually cost you. As such they owe you nothing. In fact, technically, you owe them about £30.