PPI claim on defaulted outstanding account

Vonnyc81

I have found some paperwork for an old loan I took in 2003. HFC added PPI, Joint life cover, ASU??,and accident cover onto the loan. They went to town on me and the total cost of the insurance is around 2500. I only borrowed £3900!!

Also very cheeky as the loan was a single loan on my name, my boyfriend came with me at the time. I've spotted joint Life cover was added! He who had nothing to do with it!?!

But anyway. I stopped paying the loan in February/March 2006. I don't know what's happened to it since I've moved and not heard anything. So assuming it's statute barred now as I certainly have had no contact.

I've sent off my claim on the ombudsman website, what I want to know is, can they take any successful claim money from me for the debt?

w00519772

Vonnyc81 wrote: »

But anyway. I stopped paying the loan in February/March 2006.

Did you pay off the full balance? If not, then personally I would concentrate on paying off my debt first, before making a claim.

I am no expert, though.

dunstonh

can they take any successful claim money from me for the debt?

yes they can. They are allowed to use redress against arrears, defaults and amounts previously written off.

Vonnyc81

I didn't pay it off ice not heard anything about it in years!

Vonnyc81

I've* hoping it was sold off many years ago and they wrote it off. I read if it was statute barred they can't do anything or take it further?

Stevie_Palimo

Vonnyc81 wrote: »

I didn't pay it off ice not heard anything about it in years!

Well if your hoping to line your pockets on a loan you never paid back in full hope again as it will not happen and any money owed for ppi will go towards the amount that was outstanding regardless of being a statue barred amount.

dunstonh

I read if it was statute barred they can't do anything or take it further?

If its statute barred, they cannot come after you in the courts for the money. However, the debt still exists and they can still use the capital part of the redress against the unpaid debt.

Vonnyc81

Well excuse you Stevie. I am not hoping to line my pockets at all! If they hadn't put life insureance, ppi and accident cover on in the first place I may have not defaulted!

I haven't asked for insults, I have asked for peoples experiences in cases like mine.

You don't know my circumstances so pipe down

w00519772

Vonnyc81 wrote: »

I didn't pay it off ice not heard anything about it in years!

If it was me then I would see it as my responsibility to pay my debts. No-one would have to chase me.

welshgasman

Sadly this question comes up a lot. The posters seem not to know how to use the Search tool and they all seem to expect refund despite defaulting on the product.

I dare say if the boot was on the other foot, they would not want to pay money to someone who already owed them money.

ICan'tStandIt

It does sound a bit of a 'cake and eat it' situation, but what is legally correct and morally correct are often very different.


If the bank thought it was ok to add this woman's / man's boyfriend onto the loan without her / him knowing, then they are not in a position to claim the moral high ground.


Fill yer boots, Vonny! That's what I say!


But also be prepared for the loan debt to surface again as well