PPi and 3rd party companies

bogeybean

Good Evening

My first post, I've searched the forum and can't find a answer.
I recently was contacted by a company to reclaim ppi, stupidly i agreed and the sent out the forms etc. Cut a long story short I received a letter from the loan company (first plus) saying that the recovery company had enclosed a letter of authority but not provided a valid letter of authority. They then go on to say they have advised the recovery company of this and will progress the complaint and communicate with me directly. They ask if I would prefer to continue with the company managing it or do I wish to continue without their involvement but check if I've contractual obligations with them.
In another letter dated the same as above they have enclosed a letter confirming ppi and a cheque for a large amount ..
My question is if I accept this cheque and communicate with them direct will I still have to pay the recovery companies fee ? Have they completed their job even though they didn't send the correct paperwork or have they technically failed? So no win no fee? Even though I have won.
Sorry if it's complicated just am in a pickle on what to do next. They haven't contacted me as yet.
Any information or input much appreciated.
Regards

dunstonh

My question is if I accept this cheque and communicate with them direct will I still have to pay the recovery companies fee ?

Yes. The CMC would have asked you to enter into a contract. It is a requirement to have a signed contract. The authority letter is a secondary form just to allow them to communicate with the bank. it has nothing to do with your contract.

Have they completed their job even though they didn't send the correct paperwork or have they technically failed?

They have done their job. That was putting a stamp on the envelope containing your complaint. That is all a CMC does. Nothing more.

So no win no fee? Even though I have won.

Your complaint was successful. you now owe them their money.

They haven't contacted me as yet.

They will. Followed by demand for payment. Then threats of legal action followed by actual legal action.

[Deleted User]

No complication.

You signed a legally binding contract with the claims Company and have to pay them.

You cannot argue there is "no win" if you have been awarded redress.

Your only hope is the Letter Of Authority (LOA) which the Bank say was somehow invalid, but I doubt you'll wriggle out of paying the fee as it was still the company who instigated the complaint.

bogeybean

Thank you for your quick reply's. As I thought to be honest I'll wait for their correspondence.
Thank you again.