How to calculate the 8% stat to refund

Tractormanphil

Hello
How do I calculate the statutory 8% interest to my upheld PPI refund?


Can anyone tell me how it would be worked out?

Thanks in adavance for any help

[Deleted User]

Tractormanphil wrote: »

How do I calculate the statutory 8% interest to my upheld PPI refund?

First combine the total refund (PPI paid & interest) then go here;
http://www.calculatorsoup.com/calculators/math/percentage.php

Tractormanphil

Thanks for the above link but still no wiser after clicking on it lol

Is it 8% of the total amount or 8% of the total amount per year?

TIA

[Deleted User]

Tractormanphil wrote: »

Thanks for the above link but still no wiser after clicking on it lol

You can read more information about the FOS guidelines on PPI redress and 8% interest here;
http://www.financial-ombudsman.org.uk/publications/ombudsman-news/33/awards-33.htm

Do note that it's simple, not compound, interest.

Has your complaint been upheld? If so, you can request a breakdown of the calculation from the financial institution concerned. If not, I'd wait and see as you don't want to be counting any chickens...

Tractormanphil

Thank you I think I have an idea now but not counting any chickens

Yes my complaint has been upheld and they have said they are paying me the 8% interest but I didn't understand this, the refund process has started today but I do not have a breakdown as of yet.

[Deleted User]

Tractormanphil wrote: »

Yes my complaint has been upheld and they have said they are paying me the 8% interest

If they've said this in a letter, then you should already know how much exactly you'll be receiving. It's hardly a refund "process"; the money will just appear shortly either straight to your account or by cheque.