Claims company asking for too much

btiafro

Just received a refund from credit card company, woohoo!

Totalling £1468.65+£50 goodwill gesture

BUT the claims company (who got a letter and copy of the totals) are saying my refund was £1549.71... uh oh!

I called them up to notify them of the error, but they said that was due to tax being deducted from the original amount, and therefore the amount is correct, so I owe them the 25%+VAT on the 1549.71 rather than the actual refund amount.

Does this sound right? Does it smell fishy? Either way, it don't add up!

tomtontom

Your paperwork from the lender should tell you if it has been taxed at source. Note that only the interest would be taxed. Do you have a breakdown of the calculation?

Stevie_Palimo

They would have this covered in the paperwork that you signed and agreed to the rate as advised, May be expensive and you may not be happy but you will need to suck it up and pay them as you signed the paperwork giving them permission to act on your behalf for the fee listed.


Not there issue about the taxable amount either as it is based on what the Company in question have returned in total.


If you have any further possible PPI refunds due search this forum and do it yourself.

btiafro

Stevie_Palimo wrote: »

Not there issue about the taxable amount either as it is based on what the Company in question have returned in total.

Does that mean, what they returned to me, which is the 1468.65+50?

Stevie_Palimo

btiafro wrote: »

Does that mean, what they returned to me, which is the 1468.65+50?

It will be 25% of the £1549.71 which is £387.43 in fee's and although expensive you did agree to this.

btiafro

Stevie_Palimo wrote: »

It will be 25% of the £1549.71 which is £387.43 in fee's and although expensive you did agree to this.

I am not to bothered about how much it is, i just wanted to be clear that I was being charged the correct amount, as the totals didn't match.

Thanks for your help

Insider101

btiafro wrote: »

I am not to bothered about how much it is, i just wanted to be clear that I was being charged the correct amount, as the totals didn't match.

Thanks for your help

You need to check your contract. It will probably be pretty ambiguous like 25% plus VAT of any amount awarded to you. If this is the case then you will need to decide whether you consider it worth arguing over.

amersall

If you are a non taxpayer or a low earner and the interest did not take you over your tax allowance, you need to contact HMRC and get the tax back.