Masterloan PPI : Good will payment recieved.

MILEENDMIKEY

Morning Money -Savers.

I have had a (very ) old PPI claim upheld and they have offered me a (derisory) £1,893 as a goodwill gesture. In thier letter they say as the claim is so old, no records blah, blah.

So i have sent them a copy of the loan agreement (again ) and these calculations

Amount of PPI cover £917.25
Charge for Credit on PPI £565.35
Total amount payable £1,482.60
Statutory compensation @ 8.00%
Compounding periods p.a 12
years 24.5

Total compensation due £10,457.22
less goodwill payment received -£1,893.00

Amount still owing £8,564.22

I have a couple of questions please:

1. Anyone else have experience of contesting the good will payments from barclaycard?

2. How long did it take to resolve?

3. Is my maths correct ?

My gut feeling is that as they have effectively accepted liability I should push really hard.

All comments and advice greatly welcome.

This is important for me as a payment of this size or close to it would finally make me debt free after 3 1/2 years of a DMP.

Mikey

dunstonh

The redress interest is 8% simple. Not 8% compound.

MILEENDMIKEY

Thanks very much...knocks about 700 off but still.

Any thoughts on the validity of my claim?

Mikey

Nasqueron

Mikey - if you just have the loan agreement it does not prove you paid the loan to full term - even with single premium PPI (loaded into the loan) if you had paid it off early then there would be a pro-rata rebate of PPI which would mean less of a refund (as an example) - you can't prove you paid the loan over the full period, without records from you or the bank you simply cannot expect more. Accept the gesture or refer to the FOS (and risk the gesture being withdrawn due to FOS fee) and wait 18-24 months for the FOS to agree with the bank due to lack of records.

MILEENDMIKEY

Thanks Nesquero much appreciated.

Barclays say in there letter that if challenged the amount will not be reduced even if the appeal is unsuccessful, so I think I'll chance my arm with them.

I have noted your advice re FSO though. Didn't realize there was a fee.

Mikey

Nasqueron

MILEENDMIKEY wrote: »

Thanks Nesquero much appreciated.

Barclays say in there letter that if challenged the amount will not be reduced even if the appeal is unsuccessful, so I think I'll chance my arm with them.

I have noted your advice re FSO though. Didn't realize there was a fee.

Mikey

The bank will get charged by the FOS, not you, fee is about £550 (was £850 at one point, did read it was lowered again - maybe, maybe not). I think what the bank's letter means is that you can appeal to them if you have other info (unless they mentioned the FOS specifically?) - if you refer the case to FOS as the firm has to pay the fee regardless then they may be inclined to reverse a goodwill gesture and fight the claim - FOS is likely to side with the bank as you have no proof beyond the loan agreement and they have offered you a significant chunk of cash considering no records.

MILEENDMIKEY

Thanks again,

That's how i understand the letter too. I can ask Barclays to look again and they will not reduce the claim. No mention of FSO.

Nearlyold

MILEENDMIKEY wrote: »

Thanks very much...knocks about 700 off but still.

Any thoughts on the validity of my claim?

Mikey

Think you'll find calculating the redress on the correct simple basis will reduce the amount by more than £700, more like £6068 off if you repaid the loan 24.5 years ago

MILEENDMIKEY

so 8% full stop. Not 8.00 per annum ?

Nearlyold

No 8% simple per annum but not compound i.e.


Total PPI payable was £1482.60.


8% of this is £118.60


So you get back £1482.60 + (£118.60 x N) where N is the number of years you are calculating the redress over


You have calculated it on a Compound basis

MILEENDMIKEY

much clearer. thank you very much.