Northern Rock Again

Mark_Birkenhead

I have recieved letters from NRAM saying I am due compensation for unstated interest rate issues, not certain what they mean. I had a mortgage with them in June 2002 of 54k, made up of a 36k secured loan and a 18k unsecured loan. I have since redeemed the loans in September 2011 and went to a more reputable bank and got a proper repayment mortgage. NRAM have written to say I am due redress on the unsecured loan. Why not the other secured loan and how do I know if PPI applies to this or not. Confused.

antrobus

Mark_Birkenhead wrote: »

....NRAM have written to say I am due redress on the unsecured loan. Why not the other secured loan ....

Because Northern Rock failed to comply with the requirements of the Consumer Credit Act as applied to the unsecured loan, and this technical failure meant that the interest charge was not legal and so you're due a refund. (Or something along those lines.) This doesn't apply to the secured loan, because that loan was not subject to the CCA.

Mark_Birkenhead wrote: »

....
and how do I know if PPI applies to this or not....

Look at you NR loan documentation or ask NRAM.

dunstonh

Why not the other secured loan and how do I know if PPI applies to this or not.

The unsecured loan falls under the consumer credit act. The secured loan doesn't. So, there was no error on the secured loan.

Are you paying PPI? It would be a direct debit on your bank account if you are. That is one of the reasons most MPPI complaints are rejected.