PPI Loans and Managed Loans HSBC

Crinklewood

Hi, Apparently in 2007 when I was under extreme stress I telephoned my bank for help. I had a loan (with PPI), a credit card (with Card Protection) and a bit of overdraft. However I was told by my bank the only option was Managed Loan scenarios. Being stressed various personal extreme situations - I just agreed.
Now it turns out that the PPI was in place at the time - so should have been triggered to cover the loan. The card was protected - so shouldn't have been included and the overdraft could have been worked on.
I have received an offer from HSBC for PPI repayment.

I have also received from a different department the first years interest on the Managed Loan which shouldn't be there. Apart from anything else I have been paying it out of my disability benefits which are supposed to be helping me survive.

Yet I am still having to pay another 2.5 years of Managed Loan despite being medically retired in 2007 due to Rheumatoid Arthritis / Fybromyalgia, and I am now having treatment for Cancer (genuinelly).

I have just been told by someone in one of the departments I'm dealing with that the PPI will be used to pay the Managed Loan which I shouldn't have to start off with.

Then when I said I shouldn't have the Managed Loan to start with she said for me to not pay the installments for 3 months whilst all this is sorted out but that would put my account in arrears!!

Is it me or is it the bank who can't see the wood for the trees?

I am tooo ill to be wandering down to a solicitors and explaining it all to them and get it sorted out legally and then take 25% of whatever I am finally offered.

It doesn't make sense to me and I am trying to sort out the bank and spending every afternoon at hospital having treatment for my Cancer. I can't cope !

Can anybody advise me which way to turn please?

-taff

You can't get it sorted out legally becuase PPI is not a legal matter. If you want someone else to act for you, you'll have to give them a letter of authority, or power of attorney.
The PPI would only have been triggered if your problems were covered by the PPI, so unless they were, don't keep thinking that. Stress is not covered by PPI..


Personally, I would still pay the loan until the PPI redress had been taken off it, otherwsie you could end up further in arrears.

dunstonh

I am tooo ill to be wandering down to a solicitors and explaining it all to them and get it sorted out legally and then take 25% of whatever I am finally offered.

There are hardly any solicitors that get involved with PPI. Court cases are rare too and lenders have had more success in the courts as the PPI issue is not really a legal one.

You should continue to pay the loan and not go into arrears unless you get it in writing from the bank that they do not require you to make payments.

Where the lending has involved bad debts, the lender can use the capital element of the redress payment against the debt. The interest element should come to you.

Crinklewood

dunstonh wrote: »

There are hardly any solicitors that get involved with PPI. Court cases are rare too and lenders have had more success in the courts as the PPI issue is not really a legal one.

You should continue to pay the loan and not go into arrears unless you get it in writing from the bank that they do not require you to make payments.

Where the lending has involved bad debts, the lender can use the capital element of the redress payment against the debt. The interest element should come to you.

Hi, I spoke to someone in the bank Customer Solutions Dept this morning, pointed out I had been offered to let my payments go into arrears until everything is sorted out. The lady on the other end of the phone could not believe that any adviser in the Bank would say that because it is wrong advise. Then she read the notes on my files and it was there. So I've raised that as a complaint too.

I have been advised by my Counsellor at hospital to sort out my health issues first because I am having serious treatment - let the bank sort itself out and deal with it after my treatment.

I am still paying the payments to keep my account up to date although I feel I shouldn't be because there were no bad payments when I was encouraged to take out Managed Loan.

I'm definately not happy at all. Thank you all for your replies, suggestions and comments though.