We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

PPI approved by FOS but how much?

After being refused by Lloyds TSB I've just had a letter from FOS saying that my case has been approved and to wait to hear from the bank re compensation offer. I know that I could have a long wait ahead of me but I'm trying to work out how much my compensation will be. The info on here has always been useful - used your templates for my claim - but I'm getting stuck in trying to work out what the interest would be so can't move forward with my sums! Is there a kind soul out there that would be able to work out what I may be looking at?! Thank you.

Comments

  • [Deleted User]
    [Deleted User] Posts: 26,612 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper Photogenic
    If you receive full redress it's a refund of all the PPI you paid plus 8% simple interest.
  • vivek_3
    vivek_3 Posts: 12 Forumite
    Mine was a single payment so wouldn't I also have been paying interest on the PPI over the 60 months of the loan too? Don't I get back the single payment, the interest paid and the 8%? But I can't work out how much interest I paid on it!
  • [Deleted User]
    [Deleted User] Posts: 26,612 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper Photogenic
    vivek wrote: »
    Don't I get back the single payment, the interest paid
    Yes, this is what I meant by all PPI paid.
    Why not wait until the Bank actually issues your refund?
  • vivek_3
    vivek_3 Posts: 12 Forumite
    Just making sure I know what to expect. I read a post on here where the bank offered a figure but had failed to add on the 8%.

    A £4000 loan + £958.19 single payment PPI over 60 months from July 2001 - June 2006. Paying £117.64 per month with an interest rate of 14.88%. The loan was paid off in full.

    I know I would get back the £958.19 but don't know how to work out what the monthly interest on it was. Also would the 8% start from June 2006 or July 2001? Thank you.
  • vivek_3
    vivek_3 Posts: 12 Forumite
    I think l've cracked it! Reread the advice on the website.
  • amersall
    amersall Posts: 17,037 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    Was the PPI payment you gave above with interest on?.
    If the total PPI with interest is the total figure you gave then the PPI total is what you get back, this included the interest, the 8% is on a decreasing scale for each monthly PPI payment from start of loan to redress date, the nearer you get to the redress date, the lower the 8% amount is, does this help?
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354.4K Banking & Borrowing
  • 254.4K Reduce Debt & Boost Income
  • 455.4K Spending & Discounts
  • 247.3K Work, Benefits & Business
  • 604K Mortgages, Homes & Bills
  • 178.4K Life & Family
  • 261.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.