PPI Reclaiming discussion

guitarboy_2

I don't remember being asked about PPI when I applied for my LTSB Credit Card in July 2002... if it had been explained properly I know I would never have accepted it.

Also I was working just under 16hours per week on a temporary basis at the time (and had only finished university one month previoulsy) - in the terms and conditions this entitles me for cover when sick but not when unemployed.

Should I use both these reasons or stick to just one?

Any help much appreciated & thanks for the great info so far!

George

gt568

guitarboy wrote: »

I don't remember being asked about PPI when I applied for my LTSB Credit Card in July 2002... if it had been explained properly I know I would never have accepted it.

Also I was working just under 16hours per week on a temporary basis at the time (and had only finished university one month previoulsy) - in the terms and conditions this entitles me for cover when sick but not when unemployed.

Should I use both these reasons or stick to just one?

Any help much appreciated & thanks for the great info so far!

George

Use both, more ammunition for your claim.

soontobesensible

Wanted to know if anyone out there has had any success with GE Money? I am about to send my first letter off to them for PPI sold to us in 1999.

mattC_2

Hi everyone,

My partner is 22 months into an 84 month personal loan with the Abbey.

They added to the loan a payment protection plan at a cost of £3771 plus interest (total £5174):eek:

She has recently found out that the repayments she initially made were only paying off the insurance premium and once the premium had been paid the repayments would then be allocated to the loan.:mad: Does this sound right?

Also, does this constitute as 'mis-selling' as she was not informed of this at the time of taking out the loan?

I await in eagerness your input!

Many thanks

Matt

larf

If there are any clever people out there who could help me with this, I would be very grateful:

In January 2002 I took out a bank loan for £8000. Here are the figures from the loan agreement:


YOUR LOAN (8.9%APR)

Amount £8,000.00
Interest £1,104.04
Monthly payment £252.89
Number of monthly payments 36
Total amount payable for credit £9,104.04


PERSONAL LOAN PROTECTION (8.9%APR)

Amount £ 911.52
Interest £125.64
Monthly payment £28.81
Number of monthly payments 36
Total amount payable for credit £1,037.16


TOTAL

Amount £8,911.52
Interest £1,229.68
Monthly payment £281.70
Number of monthly payments
Total amount payable for credit £10,141.20

I was finding the monthly payments too hard to manage, and I asked to extend the term. The bank said the only way they could
do this would be if I settled this loan, and took out a new one. I had to borrow a bit more as part of the deal. Here are the early
settlement figures, after I had made 7 repayments at £281.70 each:

Balance of your loan £8,169.30

Less interest rebate £697.93

Less insurance premium rebate £517.35

Total amount due £6,954.02

Here are the figures from the second loan agreement taken out in August 2002:


YOUR LOAN (8.9%APR)

Amount £7,250.00
Interest £1,694.20
Monthly payment £149.07
Number of monthly payments 60
Total amount payable for credit £8,994.20


PERSONAL LOAN PROTECTION (8.9%)

Amount £1,251.35
Interest £292.45
Monthly payment £25.73
Number of monthly payments 60
Total amount payable for credit £1,543.80


TOTAL

Amount £8,501.35
Interest £1,986.65
Monthly payment £174.80
Number of monthly payments
Total amount payable for credit £10,488.00


I settled this loan early as well, here are the early settlement figures after I had made 26 repayments at £174.80:

Outstanding balance £5,943.20

Rebate of interest £504.80

Rebate of insurance premium £361.05

Settlement amount £5,077.35

I sent in letter 1, and after lengthy delays, I received a reply saying they had lost the records for the first loan, so they couldn't do
anything about it. They offered me £722.50 regarding the second loan, stating that this was for the full cost of the premiums paid
plus 8% statutory interest. I wrote back saying I needed a breakdown of the offer including an expanation of how the interest had
been calculated, and I included copies of all the paperwork for the first loan which they had lost. I also said I wanted 8% statutory
interest up to the time the dispute is settled.
After further delays I got a revised offer for £1,634.41, with 28 days to reply. Here's the breakdown of the offer:

FIRST LOAN:

Total of insurance and interest for full term of loan totalled £1,037.16
Insurance principle £911.52
Insurance interest £125.64

You paid a total of 7 repayments times by the insurance premium: 7 x £28.81 = £201.67

As you settled early, you received insurance and insurance interest rebates totalling £632.26:
Insurance rebate £555.67
Interest insurance rebate £76.59

Therefore, you have already received £632.26 of the £1037.16, we are offering to refund the difference totalling £404.90 + 8% =£437.29.

SECOND LOAN:

Total of insurance and interest for full term of loan totalled £1,543.80
Insurance principle £1,251.35
Insurance interest £292.45

You paid a total of 26 repayments times by the insurance premium: 26 x £25.73 = £668.98

As you settled early, you received insurance and insurance interest rebates totalling £435.36:
Insurance rebate £361.05
Interest insurance rebate £74.31

Therefore, you have already received £435.36 of the £1,543.80, we are offering to refund the difference totalling £1,108.44 + 8% = £1,197.12.

There are 2 things I need help with. Firstly, there are some discrepancies in the early settlement figures. Re. the first loan it says I was given rebates totalling £632.26, but in the early settlement figures quoted above I was only allowed £517.35 for the insurance premium. It is not clear whether interest has been included in this figure or not. Re. the second loan, it says I was given rebates totalling £435.36, but in the early settlement figures I was only allowed £361.05. Again it is not clear whether interest has been accounted for. I would find it impossible to calculate what the settlement figures should have been without the right calculator, so if anyone can advise me on what to do, I would be really grateful. I think both loans would fall under the rule of 78, but I don't know how to make sure the settlement figures are fair. I am waiting for a schedule for each account to be sent from the bank, which will detail the split of my monthly repayments. I don't know how much help this will be.
Secondly, I asked for interest to be paid up until the time the dispute is settled, as I feel I have been deprived of this money since 2002. What is statutory interest, and would a court award it up to the time the dispute is settled, or would it just be added on to the refund as has been outlined in the offer? Obviously, there would be a big difference in the amounts of money involved. The ombudsman has told me they can't advise me on this because they are there to help settle disputes, rather than to give advice.
I'm sure there are many little people out there struggling with these issues against the might of the banks. It wasn't until I looked at the details of my loan that I realised how much you lose when you settle early, I was just trying to cope at the time with the repayments for my loan which I used to buy a reliable car, so I could get to work at night and keep earning the money I needed to pay the loans off! As for the PPI, I had no idea at all that I had never needed it in the first place. Any money I get back will help to reduce other debts that I have.

m.colak

mattC wrote: »

Hi everyone,

My partner is 22 months into an 84 month personal loan with the Abbey.

They added to the loan a payment protection plan at a cost of £3771 plus interest (total £5174):eek:

She has recently found out that the repayments she initially made were only paying off the insurance premium and once the premium had been paid the repayments would then be allocated to the loan.:mad: Does this sound right?

Also, does this constitute as 'mis-selling' as she was not informed of this at the time of taking out the loan?

I await in eagerness your input!

Many thanks

Matt

This isn't as uncommon as you think as you could normally get a interest only mortgage where again you pay off the interest first and then finally you start making headway into paying your mortgage. What i would advise is look at the product that you were sold if it states it is a interest only loan then fair enough. However you can still claim that they sold you the loan under false impressions and if you had know this was the product you were buying then you wouldn't have taken the loan (Misselling). The company will either pay back the total PPI amount + interest (8%) or recalculate your loan taking out the PPI element either way you have to fight them as they already have your money.

m.colak

larf wrote: »

If there are any clever people out there who could help me with this, I would be very grateful:

In January 2002 I took out a bank loan for £8000. Here are the figures from the loan agreement:


YOUR LOAN (8.9%APR)

Amount £8,000.00
Interest £1,104.04
Monthly payment £252.89
Number of monthly payments 36
Total amount payable for credit £9,104.04


PERSONAL LOAN PROTECTION (8.9%APR)

Amount £ 911.52
Interest £125.64
Monthly payment £28.81
Number of monthly payments 36
Total amount payable for credit £1,037.16


TOTAL

Amount £8,911.52
Interest £1,229.68
Monthly payment £281.70
Number of monthly payments
Total amount payable for credit £10,141.20

I was finding the monthly payments too hard to manage, and I asked to extend the term. The bank said the only way they could
do this would be if I settled this loan, and took out a new one. I had to borrow a bit more as part of the deal. Here are the early
settlement figures, after I had made 7 repayments at £281.70 each:

Balance of your loan £8,169.30

Less interest rebate £697.93

Less insurance premium rebate £517.35

Total amount due £6,954.02

Here are the figures from the second loan agreement taken out in August 2002:


YOUR LOAN (8.9%APR)

Amount £7,250.00
Interest £1,694.20
Monthly payment £149.07
Number of monthly payments 60
Total amount payable for credit £8,994.20


PERSONAL LOAN PROTECTION (8.9%)

Amount £1,251.35
Interest £292.45
Monthly payment £25.73
Number of monthly payments 60
Total amount payable for credit £1,543.80


TOTAL

Amount £8,501.35
Interest £1,986.65
Monthly payment £174.80
Number of monthly payments
Total amount payable for credit £10,488.00


I settled this loan early as well, here are the early settlement figures after I had made 26 repayments at £174.80:

Outstanding balance £5,943.20

Rebate of interest £504.80

Rebate of insurance premium £361.05

Settlement amount £5,077.35

I sent in letter 1, and after lengthy delays, I received a reply saying they had lost the records for the first loan, so they couldn't do
anything about it. They offered me £722.50 regarding the second loan, stating that this was for the full cost of the premiums paid
plus 8% statutory interest. I wrote back saying I needed a breakdown of the offer including an expanation of how the interest had
been calculated, and I included copies of all the paperwork for the first loan which they had lost. I also said I wanted 8% statutory
interest up to the time the dispute is settled.
After further delays I got a revised offer for £1,634.41, with 28 days to reply. Here's the breakdown of the offer:

FIRST LOAN:

Total of insurance and interest for full term of loan totalled £1,037.16
Insurance principle £911.52
Insurance interest £125.64

You paid a total of 7 repayments times by the insurance premium: 7 x £28.81 = £201.67

As you settled early, you received insurance and insurance interest rebates totalling £632.26:
Insurance rebate £555.67
Interest insurance rebate £76.59

Therefore, you have already received £632.26 of the £1037.16, we are offering to refund the difference totalling £404.90 + 8% =£437.29.

SECOND LOAN:

Total of insurance and interest for full term of loan totalled £1,543.80
Insurance principle £1,251.35
Insurance interest £292.45

You paid a total of 26 repayments times by the insurance premium: 26 x £25.73 = £668.98

As you settled early, you received insurance and insurance interest rebates totalling £435.36:
Insurance rebate £361.05
Interest insurance rebate £74.31

Therefore, you have already received £435.36 of the £1,543.80, we are offering to refund the difference totalling £1,108.44 + 8% = £1,197.12.

There are 2 things I need help with. Firstly, there are some discrepancies in the early settlement figures. Re. the first loan it says I was given rebates totalling £632.26, but in the early settlement figures quoted above I was only allowed £517.35 for the insurance premium. It is not clear whether interest has been included in this figure or not. Re. the second loan, it says I was given rebates totalling £435.36, but in the early settlement figures I was only allowed £361.05. Again it is not clear whether interest has been accounted for. I would find it impossible to calculate what the settlement figures should have been without the right calculator, so if anyone can advise me on what to do, I would be really grateful. I think both loans would fall under the rule of 78, but I don't know how to make sure the settlement figures are fair. I am waiting for a schedule for each account to be sent from the bank, which will detail the split of my monthly repayments. I don't know how much help this will be.
Secondly, I asked for interest to be paid up until the time the dispute is settled, as I feel I have been deprived of this money since 2002. What is statutory interest, and would a court award it up to the time the dispute is settled, or would it just be added on to the refund as has been outlined in the offer? Obviously, there would be a big difference in the amounts of money involved. The ombudsman has told me they can't advise me on this because they are there to help settle disputes, rather than to give advice.
I'm sure there are many little people out there struggling with these issues against the might of the banks. It wasn't until I looked at the details of my loan that I realised how much you lose when you settle early, I was just trying to cope at the time with the repayments for my loan which I used to buy a reliable car, so I could get to work at night and keep earning the money I needed to pay the loans off! As for the PPI, I had no idea at all that I had never needed it in the first place. Any money I get back will help to reduce other debts that I have.

ok Have worked through some figures and have found the following:

1st loan:
PPI rebate = 835.49
Interest rebate on loan = 889.30
Final settlement figure @ Aug 02 £6444.51
Total Paid = £6954.02
Difference = £509.51
Interest To Date on First Loan = 5 Years 5 Months
(5*12)+5=65 months
65/12*0.08*509.51=£220.79

Total Due from first loan = £730.30

2nd loan
PPI rebate = 874.82
Interest rebate on loan = 960.05
final settlement figure @ Oct 06 £4108.33
Total Paid = £5077.35
Difference = £969.02
Interest To Date on 2nd Loan = 1 Year 3 Month
(1*12)+3=15 months
15/12*0.08*969.02=£96.90

Total Due from second loan = £1065.92

Total Due for both loans = £1796.22

This is what i calculate hope this helps.

Reclaiming PPI Paid and not required:

1st loan total PPI paid = £201.67
Stat Int during loan period = £8.07
Stat Int After loan Period (Aug 02 (65 months)) = £87.39
Total Reclaim For PPI = £297.13

2nd loan total PPI paid = £668.98
Stat Int during loan period = £26.76
Stat Int After loan Period (Oct 06 (15 months)) =£66.90
Total Reclaim For PPI = £762.64

Total PPI reclaim = £1059.77

jackthelad4711

Jools5 wrote: »

Hi there, We bought a Sofa 2 years ago from DFS on and interest free deal, 1st year there was nothing to pay and the next 4 years were interest free, I've just double checked and it seems the snuck in a PPI in the deal which I definately didnt agree to as I never have (found out about them a long time ago) I am going to claim that this was missold (as it was, I was never told about it buy the guy in the store who virtually filled out the form for me) but just wondered if anyone had any experience with this sort of PPI rather than one attached to a loan (even though in theory I guess this is just an interest free loan)
thanks

Julie

I've had the very same experience today at DFS in Coventry. I told them that I would take the first year with nothing to pay as I am due some money in March and could pay off the balance there and then or keep the money in the bank to keep the interest and pay off in full before the end of the year which I told the salesman. Having read through the agreement properly when I got home I found that I will be charged £27.19 per month (£244.69 in total). He even wrote on the form "Customer paying cash in one year so taking advantage of cover"
WHY WOULD I DO THAT???? I can pay in full regardless of my income from work.
Why has no-one in authority come down on DFS and told them to stop doing this?

frenchgate

Many thanks tiggrae i will now take this course of action and i will report back on any progress

sexki11en

jackthelad4711 wrote: »

I've had the very same experience today at DFS in Coventry. I told them that I would take the first year with nothing to pay as I am due some money in March and could pay off the balance there and then or keep the money in the bank to keep the interest and pay off in full before the end of the year which I told the salesman. Having read through the agreement properly when I got home I found that I will be charged £27.19 per month (£244.69 in total). He even wrote on the form "Customer paying cash in one year so taking advantage of cover"
WHY WOULD I DO THAT???? I can pay in full regardless of my income from work.
Why has no-one in authority come down on DFS and told them to stop doing this?

The above comment just made me go and look at the agreement we have with DFS and have had for the last year. They added PPI!!! No one even asked us!!! It wasn't mentioned once. The advisor filled in the 3 page credit agreement and asked my OH to sign. He asked if we wanted the anti insurance and we did.

Now I find out we're paying 12% not only of the amount of the sofa but on the ANTI STAIN INSURANCE AMOUNT AS WELL :mad: :mad: :mad: :mad: I cannot believe they've charged us insurance on insurance!!! God help them at 9am tomorrow morning :mad: