PPI interest question

peterpan416

Hello everyone, this is my first post nice to meet everyone, hope your all well.

Been trailing through all the forums but cant seem to find out what I need

grateful for any help, im going to use made up figures and dates, just for a example of.

Okay say for example, on the first of January 2008, I paid £10 and £10 every month for that year, all towards PPI, so £120 in total.

Okay 1st question,if im working out my return with interest, i guess from looking at the forum my intersest is 8%, so 1.08 x £10 =£10.80, for the 2nd month do I do £10.80 from the previous month + £10 this month so
£10.80 + £10 x 1.08(8%)=£22.46 so basically interest upon interest, and so on each month( is this called compound interest?)or do you just do without the interest upon interest

And finally 2nd question,even though the the above calculation is for 12 month, say that was the end of the contract, they still have my money, so just say its 3 years ago until now( claim date for example) do i keep timing each individual payment per month at 8%, so take my first payment, it would be 11 month they have it in my loan time, and 36 more month since the loan finished so that would 37 month they have had my payment, so do times £10 x 1.08 and carry on timing it by 1.08 for 36 times, and then my 2nd payment again like above but times it by 1.08 for 35 times, and 3rd payment by 34 times and so on. If I do calculate it like way where i did interest upon interest in question one, it quickley rises, especially if you had a loand back in the 2000'.

That all i need for now people, thanks for any anwers

I will be putting up my full story eventually with all my breakdowns, but will probley do when I have more time and have a little more info,still early doors, thanks guys

dzug1

It's 8% interest per YEAR, not per month. A month's interest will be 2 thirds of a percent

-taff

If your complaint is upheld, you can ask them [if they don't provide one] for a breakdown of how the figure was reached.
Until it's upheld, don't bother counting your chickens.

peterpan416

cheers guys