Unexpected PPI Cheque

hibbiejim

Hello folks from the newbie hibbiejim.

I indeed did get a cheque through the post 2 weeks ago from the RBS for the amount of £6,080 regarding PPI i had complained about in 2008.
But this has now made me realise that i lost my house because of this £6,080

So i had a loan, circumstances meant i had to claim PPI for a year and being unable to work i got into difficulties. On the 24th March 2007 i recieved a call from RBS telling me my best option was to default on said loan.
This i done. I was on anti depressants and there were lots of other pressures going on in my life at the time and it seemed it was one less hassle.
I was then dealing with RBS debt recovery people, then Matt the t**t from RBS debt collectors Regal Credit started threatening to send people to my door.
Just what you need when on anti d's.
I kept RBS fully informed about my situation. I then paid £100 per month for year odds and then i got a solution that would pay RBS and also mean i got a brand new 3 bedroom house debt free.

Regal Credit had said £16,500 would clear the debt. RBS said £16,500 would clear the debt.

So my friend would pay me a nominal sum for my old prefab and pay RBS a £10,000 lump sum. I would sign an agreement to pay RBS the other £6,500 when i got the new house to use as equity.

4 times they were offered. They would accept no less than the £16,500 in a lump sum. It could not be done as my friend had the drawings and planning to pay as well. I still have the letters of refusal from RBS lawyers.

Eventually i got a buyer. As you cannot get a mortgage to buy a prefab the buyer had to take out a loan.
The day before the sale went through an RBS injunction kicked in.
They would not agree unless i paid £21,500 to them.
This i duly did or else the house was repossessed by the council.

Now that i have just had £6,080 returned from 2008 surely if that had been taken from the loan at the time and then my mate had paid the £10,000 lump sum with a bit tweaking then RBS would have had full payment?

No need to find cash buyers. I would have had a new house as an asset and my daughter something to inherit.

So my complaint is away to RBS wondering why i lost my house over £6,500 when they have just returned £6,080 to me.

Can anyone comment either with advise or criticism? I feel that i was mislead into defaulting as they knew they could not lose to the inhibition on the place.
I was told over 2 years the amount i was due them ranged from£16,500 up to £29,000 depending who i spoke to.

And if they have just returned PPI then why did they pay it out in the first place?

Any pointers gladly accepted.
Cheers

amersall

4 times they were offered. They would accept no less than the £16,500 in a lump sum. It could not be done as my friend had the drawings and planning to pay as well. I still have the letters of refusal from RBS lawyers.

This is why your debt went up, they did not agree to what you were proposing and you still owed them money.

Did you carry on paying towards this debt or not?.

Now that i have just had £6,080 returned from 2008 surely if that had been taken from the loan at the time and then my mate had paid the £10,000 lump sum with a bit tweaking then RBS would have had full payment?

They could not take this from the loan as you did not win mis sell until now, had you made the complaint when you needed the balance reducing, you would have had no problem repaying them what you owed.

The day before the sale went through an RBS injunction kicked in.

It would not have mattered as they rejected your initial proposal to repay and this would have happened sooner or later.

They would not agree unless i paid £21,500 to them.
This i duly did or else the house was repossessed by the council.

So you did eventually manage to buy the other house?.
If you keep the cheque this is the "extra" money back that you "overpaid" so you are breaking even.

And if they have just returned PPI then why did they pay it out in the first place?

Because you were eligible to make the claim and then they agreed that you were mis sold, they should have taken off the amount that you claimed from the redress, did they do that?

You could complain but I honestly don't think you will get any where with this.

Well done on your win though, although it is bitter sweet.

roonaldo

But you owed them £16500 initially, you friend paid £10k and you have been given £6k. You claimed on the insurance for a year so if it wasn't for that insurance the debt would have been much higher.

And if in the event your point is right and the debt was wiped out, as you were in difficulties surely the debt was just going to rise again?

The house would have been repossessed anyway.

Mr_BARGAIN_2

Quote:
Now that i have just had £6,080 returned from 2008 surely if that had been taken from the loan at the time and then my mate had paid the £10,000 lump sum with a bit tweaking then RBS would have had full payment?
Going by what you said ie £6080 from 2008 you should receive 8% interest +8 % statutary interest as well good luk

[Deleted User]

Mr_BARGAIN wrote: »

Going by what you said ie £6080 from 2008 you should receive 8% interest +8 % statutary interest as well good luk

The £6080 is the total amount (including the interest) which the Bank awarded two weeks ago. It's not the PPI amount from 2008.

hibbiejim wrote: »

I indeed did get a cheque through the post 2 weeks ago from the RBS for the amount of £6,080 regarding PPI i had complained about in 2008.

roonaldo

Yes of course as the redress 2 weeks ago includes interest, so in 2008 it may have only been say £4500. Which is another flaw in the OP's story.

Plus the fact that the OP hasnt raised a mis-sale complaint in 2008, redress cant be awarded retrospectively to any given point in time just because the complainant requests it to be. In reality the final debt/arrears was actually £21.5k, not £16.5k. £16.5k is irrelevant as it was never cleared at that point, it increased and increased to £21.5k. Just like it was never cleared at £5k or £10k.

The biggest flaw is that the OP has raised a mis-sale complaint so he/she is saying they shouldnt have been sold the PPI, but has benefitted from it too for a whole year. A complete contradiction. In reality the policy delayed the repo for a year if anything.

hibbiejim is clutching at straws.