1st post help pls. Ppi and debt management

Tiswas999

Hello all

This is my first post and I'm an utter novice so please be kind!

I have been on a debt management scheme for about 5 years with about the same time to go. My husband and I were heavily in debt and it seemed like the best option. This is something we have done ourselves and are not paying a company to do this for us.

It's been ticking along quite well.

on Saturday I received a letter from MBNA saying they think I've been missold PPI on a credit card I have with them.

I had no idea I had PPI. To be honest I would have claimed myself if I thought I had it - first thing I knew was when I received this letter.

I've completed and returned their questionnaire thing today.

I'm really confused though now.
I opened the acc and supposedly took out PPi in June 2006.
In jan 2008 we entered the DMP owing £6500 on a £10k limit card.

I've been paying £60 a month for the last 5 years as my agreed payment.

I have read that anything I am awarded will more than likely go towards the money I owe them which is fine but will I actually still be paying PPi now?

Will they look at this as 7 years of payments or just from taking out the CC until I entered the plan in Jan 08?

Any help would be great. I'm really confused!

Thanks
Helen x

[Deleted User]

Tiswas999 wrote: »

I have read that anything I am awarded will more than likely go towards the money I owe them which is fine but will I actually still be paying PPi now?

If your account is in default any PPI would have been cancelled. Certainly, you won't still be paying it if the account is no longer active and you are paying off arrears.
If judged mis-sold, you'll only receive back money you actually paid plus interest.

Tiswas999

Thank you for that. I tried reading other posts and read one telling someone to cancel ppi if they had it already as it would still be running yet wouldn't be valid so was getting really confused.

I just needed to explain my circumstances so thanks for that x

[Deleted User]

Hopefully, if nothing else, a win will shorten your DMP.

How_much

A few weeks ago I received a cheque from mbna for just over £9k, I am on a DMP, mbna sold the debt on and I still owe £5k on it, which I can now pay off. And have £4k left to pay off other debts. :j

Tiswas999

How_much wrote: »

A few weeks ago I received a cheque from mbna for just over £9k, I am on a DMP, mbna sold the debt on and I still owe £5k on it, which I can now pay off. And have £4k left to pay off other debts. :j

That's brilliant! :beer:

Can I just ask- how did they work out your figures? I'm not expecting a lot as I think I'll only have a claim from opening the card in 2006 to going into DMP in 2008 rather than to the present day x

How_much

Tiswas999 wrote: »

That's brilliant! :beer:

Can I just ask- how did they work out your figures? I'm not expecting a lot as I think I'll only have a claim from opening the card in 2006 to going into DMP in 2008 rather than to the present day x

I had the card from 1997 to 2008, it regularly had a balance of around £8k, they paid back all of the ppi payments which were about£4650, the rest was interest.

Tiswas999

Thanks. This site confuses the hell out of me!

I had about 5-6k for about 2 years so I think they'll pay on that if I'm successful. The ppi will have stopped when I went into the plan I guess but I was wondering whether they should/did amend my figure as I went into the plan.

I'm not sure whether ppi is like interest on a loan or whether it's just a monthly payment. Not sure if that's very clear though lol

How_much

Tiswas999 wrote: »

Thanks. This site confuses the hell out of me!

I had about 5-6k for about 2 years so I think they'll pay on that if I'm successful. The ppi will have stopped when I went into the plan I guess but I was wondering whether they should/did amend my figure as I went into the plan.

I'm not sure whether ppi is like interest on a loan or whether it's just a monthly payment. Not sure if that's very clear though lol

They will have stopped the ppi payments when you entered the DMP, the ppi is roughly calculated at 80p ( it can be a bit more or less) for every £100 that you would have owed per month for a credit card.

Tiswas999

Thank you that makes it much clearer x