Another PPI Question but on a joint loan

Mealticket73

I took out a joint loan with my ex-partner to pay off his credit cards when we were together and have just one consolidated payment cheaper. When we split up he stopped paying the loan and claimed he didn't have the money and so they came after me. I have continued to pay the loan for the last 3 years (£301.49 a month) and now I have discovered there is PPI on this loan and so want to claim it back and use it to pay off much of what is outstanding on it.

Question: Can I do this or do I have to split it 50/50 with my ex? There is still just over 8,000 left outstanding and I think the PPI money should be used to clear this.

Does anyone know where I stand in terms of legally in this respect?

Many thanks

p.s if you are thinking of taking out a loan with someone you aren't married to...don't do it!!

dunstonh

Can I do this or do I have to split it 50/50 with my ex?

It will be split unless you ex agrees in writing to have it paid fully to you.

There is still just over 8,000 left outstanding and I think the PPI money should be used to clear this.

If the debt is in arrears then usually the lender will offset it against the debt. However, you can state in your complaint that if the complaint is successful, that you wish the full amount of redress to go against the debt. Most lenders will be more than happy to do that and it will make sure all the money benefits you.