PPI Reclaim virgin (sort of)

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Hi


I have just stated to find if I have PPI. I have already had one clam which went through with no problems (Yorkshire Bank) and have applied to several companies to find out or complaining about PPI.
I have just received 2 back which I think maybe a common response.


Some background
I was in an IVA from 2002 at it ended in 2004 a total of 27 months. All creditors agreed to the final settlement and all accounts were closed. All my creditors go back over 10 years some go back to the early 1990’s.


The first response was from Capital One who agreed that I was miss sold PPI and have award me £900 but would not pay out but use it to pay my remaining debt. The debt was part of the IVA and was completed in 2004, Are they in their right to do this?


My partner also complained to Capital One and again said that they had PPI but this time said that due to it being over 6 years ago it was too late to complain. But it was the same time as mine and was also in the IVA (joint IVA). So how can they give two different responses to the same time frame?


The second is from Barclaycard who again say that I had PPI but since I did it by post, I had all the information at hand so was not miss sold and my claim has been rejected. This goes back to the 1990’s and to be honest cannot remember how I got the card. If I did apply by post I’m presuming I must have ticked a box. Do I still have a claim if this is the case?


I have tried to read all the information on this site but it’s vast and I started to get a headache (lol) so sorry for asking questions that will have probably already been answered somewhere.


Any help will be very gratefully received
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  • dunstonh
    dunstonh Posts: 116,637 Forumite
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    The first response was from Capital One who agreed that I was miss sold PPI and have award me £900 but would not pay out but use it to pay my remaining debt. The debt was part of the IVA and was completed in 2004, Are they in their right to do this?

    Yes they are. You didnt really expect them to pay you money when you didnt repay them in full did you? Lenders are allowed to set up redress against unpaid debts, even if statute barred or had amounts written off as part of an agreed settlement.
    My partner also complained to Capital One and again said that they had PPI but this time said that due to it being over 6 years ago it was too late to complain. But it was the same time as mine and was also in the IVA (joint IVA). So how can they give two different responses to the same time frame?

    The 6 year rule can only be applied in conjunction with the 3 year rule. (i.e. the longer of both rules). So, that appears to be an incorrect reason. it is possible that the person who issued the letter pressed the wrong button and you got the wrong text on that letter. As your partner's went to the IVA you would expect the same comment about the redress as you got.
    The second is from Barclaycard who again say that I had PPI but since I did it by post, I had all the information at hand so was not miss sold and my claim has been rejected. This goes back to the 1990’s and to be honest cannot remember how I got the card. If I did apply by post I’m presuming I must have ticked a box. Do I still have a claim if this is the case?

    There is nothing wrong with having PPI. The issue is whether they sold it you correctly or not. When you buy something without a rep/clerk being involved, you get a lower level of consumer protection. There are still cases you can be mis-sold but its far less likely. A postal application where you ticked a box to have it would not normally be considered a mis-sale unless the documentation issued at the time was not up to scratch (based on rules that were in place in the year it was taken out - not todays standards).
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Nosey_P
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    Thanks for the quick response

    No I didn't expect it. The thing that has thrown me is that the Yorkshire Bank (which was also part of the IVA) I won and they have paid me out. So when I got Capital One saying that i had also won but was with holding it due to old debt, it confused me. That they have said the opposite to what Yorkshire Bank did. Also if an account has been closed since 2004 how can they credit an account that has been closed for 12 years.

    In regards to Barclays, is my next step to do a SAR to see exactly what paperwork they have or should I just except their decision
  • dunstonh
    dunstonh Posts: 116,637 Forumite
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    No I didn't expect it. The thing that has thrown me is that the Yorkshire Bank (which was also part of the IVA) I won and they have paid me out. So when I got Capital One saying that i had also won but was with holding it due to old debt, it confused me. That they have said the opposite to what Yorkshire Bank did. Also if an account has been closed since 2004 how can they credit an account that has been closed for 12 years.

    Some of the banks are pretty poor at record keeping. Yorkshire bank had a right to keep it if there was an amount unpaid. However, they may not have been able to see that from the records they retain.
    Also if an account has been closed since 2004 how can they credit an account that has been closed for 12 years.
    It will offset their suspense account that would have been debited to close the old account.
    In regards to Barclays, is my next step to do a SAR to see exactly what paperwork they have or should I just except their decision

    You can spend £10 and do that if you dont believe them.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Nosey_P
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    Plus when the IVA ended they was no mention of redress. I have another PPI going through with another bank and they asked me this question and again this bank was part of the IVA (which there records will tell them) so I'm going to presume that if I'm awarded anything from them then they will with hold it.or is it a case of each company have there own rules so therefore some may pay out and some will withhold it as a redress.
  • [Deleted User]
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    Each company does not have it's own rules (but some keep better records).

    If you had monies written off as part of an IVA, do you really expect this to be "refunded" when you failed to pay it in the first place?
  • Nosey_P
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    Please don't get me wrong, I did not expect to get anything, that's why I have not tried till now. I applied to Yorkshire Bank expecting just that (thanks but no thanks) but when I won then I have tried other creditors. So it looks like I got lucky with YB

    Thanks for your help
  • Nosey_P
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    I have just spoken to my insolvency and told them of the Capital One withholding money due to redress. This is what I was told

    "Since my IVA is from 2002, redress was not a condition of the agreement and therefor Capital One are wrong to withhold the money. Redress is now common but not when I had an IVA".

    So is the insolvency company wrong?

    I don't wont to go to the FOS just for the sake of it.
  • Nasqueron
    Nasqueron Posts: 9,035 Forumite
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    If you owe capital one money (if money is written off or an offer is made so you don't pay back in full) they are fully within their rights to offset the money against your unpaid debts regardless of whatever the IVA say. If you owed less than the full amount you should expect them to give you the difference
  • dunstonh
    dunstonh Posts: 116,637 Forumite
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    So is the insolvency company wrong?

    Yes. The FCA guidelines quite clearly allow firms to set off the redress against unpaid debts. The exception is bankruptcy where the redress should be paid to the official receiver for distribution to all creditors.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Nosey_P
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    ok, thanks for your help
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