Lloyds PPI offer, should I accept! Help!

JulesFR

Hi, I have made a PPI claim with Lloyds for a personal loan I took out in 1994 and paid off in 1999. I have partial paperwork, but not the original agreement, or the first page of the payments. I paid £145 a month for 60 months, but I don't know what proportion of that was PPI.
When I made the claim I didn't send in the paperwork and Lloyds didn't ask for it. They have now offered me £1615.40, of which £1013 is the PPI, 8% interest at £753 minus £150.60 tax. They've said that they don't have any records of the payments I made, so this figure is an average compensatory payment.
I appealed against this figure and they have now asked for the paperwork I have and said they will recalculate, but if the figure is less, they will reduce the refund. They will not tell me how they have calculated the figure they've offered, although I have asked them, but said their calculation is from 1997.
I'm confused and don't know whether this offer is reasonable and I should accept it, or whether I should insist on a recalculation and risk losing out.
The original loan was for apx £6000 and total repayments would have been £8698.
Please help. I have to decide quickly!

-taff

If you don't know and your paperwork doesn't show how much you paid, then accept it because they obviously have no records themselves.

If you send in your paperwork [copies of] they may be able to figure out what your capital interest was etc, but as they say, they may recalculate dowwards, which is a risk you'll have to take.

Personally, I'd accept but I'd query that 8% interest figure because that looks low to me.It should be more like 1200.

welshgasman

That is a standard average redress amount when they do not have details of the loan anymore due to it being so old.

Unless you have info to the contrary, it is unlikely to change.

NoLove4Lloyds

I think if you have grounds to believe you are entitled to more and have some means to prove your argument you might want to pursue more, but I would say the offer is reasonable, although standard.

This is just my opinion. I'm not an expert at all although I did get the same compensation deal with my bank.

javorb

take the money ,my tsb case has been with the ombudsman for nearly 2 years ,millions of ppi money ready to be paid out but all banks stall for time

welshgasman

That is really just bull.

Banks do not want this to drag on any longer than necessary. It is in their interests to get it over with once and for all.

This is very much like the BP Gulf fiasco. Plenty of people have been missold PPI, but also plenty more are jumping on the bandwagon looking for a payoff. The same happened with BP. People making claims when the oil spill had no effect on their business whatsoever.

I'm not defending the banks in any way, but you see the comments on here 'I was was missold PPI' when they have no recollection on how it was applied.

I've seen statements 'I never new I had PPI' and yet they have made a successful claim on the PPI. You cannot have it both ways.

CMCs just sending in blanket templates quoting all the possible reasons it might get refunded.

If and when the FOS see in your favour, any interest you will get will be 8% interest applied for those extra two years. Not a bad rate in these times. Another reason for the banks to pay promptly.

javorb wrote: »

take the money ,my tsb case has been with the ombudsman for nearly 2 years ,millions of ppi money ready to be paid out but all banks stall for time

NoLove4Lloyds

Some people may be jumping on the PPI bandwagon welshgasman but banks have been fined for delaying PPI payouts. A quick google on PPI payout delay brings up some examples.

For what it's worth in my case the bank advisor that sold me my loan did say I didn't have to take the PPI but in the same sentence he said that if I didn't he wouldn't recommend my application to be accepted.

dunstonh

Some people may be jumping on the PPI bandwagon welshgasman but banks have been fined for delaying PPI payouts.

It isnt a surprise when you have something in the range of half the complaints being try-it-ons or even fraudulent. They hold up those with genuine complaints.

For what it's worth in my case the bank advisor that sold me my loan did say I didn't have to take the PPI but in the same sentence he said that if I didn't he wouldn't recommend my application to be accepted.

Advisers rarely got involved with PPI. Indeed, FOS stats had advisers only accounting for around 1% of PPI complaints. Most of which end up rejected. PPI is mainly a non-advised issue. Verbal allegations rarely succeed on that point. However, most loan PPI complaints do succeed. Although for other reasons.

NoLove4Lloyds

Thanks for the interesting stats. I did win my case re PPI on a loan and didn't go through any specialist claim company to do it. This was around 5 years ago and I just wrote a simple letter to the bank clearly explaining my experience and they accepted my argument, and did pay promptly in my case.

A short time prior to taking out the graduate loan I took out a smaller loan with HFC as I stopped working to concentrate on the final months of uni. I was given a similar 'you don't have to take it but may not get a loan if you don't' line.

From my experience these situations can happen but maybe I'm a bit unlucky, or perhaps the low % of cases like mine is due to the large amount of claims submitted via specialist claim companies who perhaps don't regard this as a firm basis for making a claim?

javorb

NoLove4Lloyds wrote: »

Some people may be jumping on the PPI bandwagon welshgasman but banks have been fined for delaying PPI payouts. A quick google on PPI payout delay brings up some examples.

For what it's worth in my case the bank advisor that sold me my loan did say I didn't have to take the PPI but in the same sentence he said that if I didn't he wouldn't recommend my application to be accepted.

Exactly the same thing was said to me `if you dont take the ppi you probably wont get the loan `very familiar tactic from bonus seeking bankers !!.If the Banks were so squeaky clean why has billions been paid out more still awaiting ,my brother put his claim for same reason as mine and was paid out nearly 2 years ago ,so why pay out some and not all ,oh i forgot each case is individually
considered even though the claims are the same .

dunstonh

Exactly the same thing was said to me `if you dont take the ppi you probably wont get the loan `very familiar tactic from bonus seeking bankers !

Actually, the bank staff didnt get bonuses for selling those. They kept their jobs as the pressure was from above on getting numbers overall and not an individual bonus.

if the Banks were so squeaky clean why has billions been paid out more still awaiting

no-one says they were squeaky clean. However, they were partly stitched up by the regulator by forcing them to review sales using rules that did not exist at the time.