FirstPlus 2004 Loan - PPI Claim?

PPIreclaimer

Hi,
We've taken far too long to get round to doing this but are about to do so, however we're unsure if likely to be successful or not? Any advice?

• Loan taken out in 2004 (myself and wife) direct with FirstPlus
• Term 20 years (9 years to go)
• Circa £45K
• Plus £10K PPI
• Got the £10K "Refund" after 5 years as promised.
• Recent Settlement Quote £35K

Now after reading the forums I think we have been hoodwinked in terms of the PPI being paid a single premium "loan" that would cost a fortune in interest as it was still being paid over the full term, despite the "refund". On this basis I am proposing to try and make a claim - I have the letter below drafted from a template I found here and it's ready to go out via special delivery tomorrow.

Can anyone advise the likelihood of this being successful, or any excuses/tactics they may use to refuse it?

Thanks.

FAO: Customer Relations
Firstplus Financial Group Plc
The Avenue Business Park
Pentwyn
Cardiff
CF23 8FF

Dear Sirs,

PPI Misselling Claim - Loan Account Ref Nr: XXXXXX

We believe we were mis sold the PPI on the above account number and would like recordings, if any to the contrary of our reasons for mis sell set out below.

1) We were not told that the PPI was in effect another loan that was added to the original loan and was repayable over the entire loan term with interest.

2) We were told that the PPI was a 5 year policy, but not told the ppi would still be on the loan to term end with interest.

3) We were told that if we did not make a claim,or go into arrears on the ppi then after 5 years we would receive the cashback of PPI but were not told this would not include the interest made on these payments that we paid over the 5 years.

In line with the FOS recommendations it is requested that the overall situation be restored as if PPI had never been included. This will entail:

A refund of the monthly payments that have actually been paid towards the overall loan in excess of those that would have been needed, if the original loan had been sold without the PPI policy.

In addition, interest at the rate of 8% simple per annum to any excess payments made from the time each payment was made to the point that FirstPlus pays them back to us. We believe we were not given enough information on this PPI to make an informed decision. Had we known the full cost of this PPI we would not have taken it.

Unless you can prove without doubt that this PPI policy was fair, reasonable and suitable for our circumstances we will require you to rearrange the loan as if PPI had never been included on the above loan.

Yours faithfully,

amersall

Don't send this recorded delivery, it is going to reception and could take ages to get to the claims Dept. Send first class and ask for proof of posting, head the envelope, PPI claim.

This may have been a broker due to the year, they should tell you who the loan was with though, just so you know, you may get the run around and the Broker may not have been regulated at the time you took the loan.
Send the complaint to FP to start with and let me know what they come back with.
Nothing ventured nothing gained!.

PPIreclaimer

Many thanks for your reply and I'll post in the way you suggest.

All our paperwork is 'FirstPlus' and I remember we contacted them directly for the loan via the FirstPlus telephone line and all paperwork and correspondence at the time and since has been FirstPlus. Don't know if a broker could be involved that we would not have been aware of? Anyway, being posted today and we will await the outcome.

Thanks again.

nessauk

Go for it. I recently put in PPI claims for bank loans that I took out in 1997 and 1998 with Natwest. Yesterday I received the outcome of my complaint and my complaint has been upheld. Goes to show it is possible to win a claim after 6 years (especially if you still have the necessary paperwork hoarded away.)

-taff

Banks subscribed to the GISC code therefore PPI sold by them was regulated prior to January 2005. First Plus sisn't subscribe to this code, and were not regulated.
I think First Plus may have been regulated in 2004, but not certain. If they weren't regulated then no amount of paperwork will help.

PPIreclaimer

Woohoo.... Result!
Came home to thick envelope from Firstplus...

"Your claim has been upheld"
Two refund cheques enclosed totalling almosf £8K
Plus,
Outstanding balance reduced by almost £10K
Plus,
Monthly payment reduced by £100

I was literally jumping for joy around the living room just now on opening this.
Many many thanks to this forum for the guidance.

Darren_diz

@PPIreclaimer did you send the above letter to 1st class ref PPI Claim as advised to the address shown on your example letter? I'm near exactly same as yourself in terms of when I took mine out and the sum£....thinking of doing just the same, especialy as a letter has just dropped on the doorstep saying that First Plus have sold my loan to Elderbridge Limited and quote "they will be responsible for the management of your loan account from that date onwards, which includes setting the interest rates." so from January 18th 2016 I'm expecting a new year interest rate increase!!!!!

PPIreclaimer

Yes I just sent the letter via 1st class post as advised, and it worked.

Glad to bear you got the Elderbridge letter too, as I came home to the same today as well. I initially thought it was as a result of my ppi claim given the timing, but since you also got it before claiming then it must be widespread. Like you im a bit worried re the comment on interest rate setting.

Darren_diz

Yey!!!!
@PPIreclaimer
Copied your letter etc and posted Dec 18th...had letter Wednesday 6th Jan stating looking into claim then today got upheld claim letter with cheques totaling £6k circa, monthly reduced by £85 and balance by £8k

Well chuffed! !!! You are a star! !!!
Only query I may have is that I'm paying 10% interest but refunded etc a statutory 8% is this same on your refund? Plus they take tax at 20% off your interest refund? ??? I paid 20% tax pre paying my monthly fee etc so why take it again just because I'm getting back what is duly mine albeit in one lump sum
Happy all the same as surprised resolved within weeks. ..
Just wait now to see what Eldridge or whoever has bought our loans does with our interest rates. ...10% is surely high enough but doubt it'll reduce anytime soon

Nasqueron

Darren_diz wrote: »

Yey!!!!
@PPIreclaimer
Copied your letter etc and posted Dec 18th...had letter Wednesday 6th Jan stating looking into claim then today got upheld claim letter with cheques totaling £6k circa, monthly reduced by £85 and balance by £8k

Well chuffed! !!! You are a star! !!!
Only query I may have is that I'm paying 10% interest but refunded etc a statutory 8% is this same on your refund? Plus they take tax at 20% off your interest refund? ??? I paid 20% tax pre paying my monthly fee etc so why take it again just because I'm getting back what is duly mine albeit in one lump sum
Happy all the same as surprised resolved within weeks. ..
Just wait now to see what Eldridge or whoever has bought our loans does with our interest rates. ...10% is surely high enough but doubt it'll reduce anytime soon

The 8% interest on your refund is an agreed rate between the banks and the ombudsman, regardless of what your loan % is.

You are paying 20% tax on the interest element, just like you would on savings, you don't pay tax on the refund itself.

abacab

PPI reclaimer,how can I thank you?
In 2000 my wife and I took out a Firstplus loan even though we had gone into the building society wanting a Woolwich together product.
But the salesman steered us towards this,no doubt thinking of his commission.
We could take out PPI,as it was "no lose"being paid back after 5 years.
He didnt mention that it would be front loaded onto the loan.
Roll forward 10 years and we submitted a claim via a lovely PPI reclaimer,but after several weeks it was returned saying they could not assist with no further explaination.
I had given up on this,thinking it was out of time,but following your post I decided to contact Firstplus and ask for the account number,as I now had no paperwork whatsoever.
This was recieved,so I sent in a letter as per your template with small adjustments just after xmas.
Today we are £8800 richer!
Thank you so much.