Debts caused by PPI not being honoured

13 Posts
Good evening fine people.
It may have been mentioned here before but I cant find anything on it (probably not looked hard enough)
I had loans with PPI through TSB, Black Horse and Lloyds TSB which I have successfully reclaimed on (which was mainly spent on debts) due to miss selling on the grounds that I was working in engineering at the time of taking out the loans and in that area most jobs are subcontractor roles or through agencies so it wasnt suitable as I wouldnt be covered.
I found out the hard way when a contract ended and I struggled to find a new role and tried to make a claim and they basically said no. This didnt help as you can imagine and soon added up in bounced debit fees, unauthorised overdraft fees and interest.
Now debt collectors and solicitors are chasing me for aprox £3500 for the Lloyds TSB overdraft. Im not saying the whole amount was caused by them reneging on the PPI but I imagine a fair amount was, as they have paid out on the claims I made is it fair that I should be expected to pay the debt collectors? Has anyone else had anything simular?
I really dont know where I stand.
It may have been mentioned here before but I cant find anything on it (probably not looked hard enough)
I had loans with PPI through TSB, Black Horse and Lloyds TSB which I have successfully reclaimed on (which was mainly spent on debts) due to miss selling on the grounds that I was working in engineering at the time of taking out the loans and in that area most jobs are subcontractor roles or through agencies so it wasnt suitable as I wouldnt be covered.
I found out the hard way when a contract ended and I struggled to find a new role and tried to make a claim and they basically said no. This didnt help as you can imagine and soon added up in bounced debit fees, unauthorised overdraft fees and interest.
Now debt collectors and solicitors are chasing me for aprox £3500 for the Lloyds TSB overdraft. Im not saying the whole amount was caused by them reneging on the PPI but I imagine a fair amount was, as they have paid out on the claims I made is it fair that I should be expected to pay the debt collectors? Has anyone else had anything simular?
I really dont know where I stand.
0
This discussion has been closed.
Latest MSE News and Guides
Childcare budget boost
More support for children from nine months and those on Universal Credit
MSE News
Replies
They have no requirement to pay out on claims you were not eligible for. Refund of premium plus interest is the correct outcome here.
For example keep trying to take monthly installments on a loan causing bounced debit fees, interest on an authorised overdraft then beond that into an unauthorised overdraft and the interest that builds up.
My point being if they had honoured the PPI claim (to cover my loan payments at the time of my unemployment) the overdraft amount would have been much lower and not caused so much financial difficulty.
So basically they have caused some of/most of the debt by incorrectly selling me a product that was not fit for purpose and then punishing me for something they have admitted they were wrong in selling me?
You cannot claim additionally for (spurious) consequential loss.
I work in the motor industry (motorcycle technician) and im sure if something in my line of work incorrectly that had direct consequences on a customer that would come back on me? If I did something that caused someone loss of earnings (or injury or worse) I would expect to be liable
This really isn't up for discussion. To repeat, PPI redress is defined as a full refund of the policy plus interest, no more and no less.
Remember, though, it's not this forum you have to convince.
You sound like you know more about the financial sector than me so thanks for the info even though I cant say that it entirely sounds fair that banks can do that.
The only example I can think of in my line of work would be me selling someone the wrong product for their motorcycle (say oil) it goes bang and i say sorry you have to foot the repair bill even though I knowingly sold the wrong product?
Or are you suggesting it would be fair to refund the oil and possibly replace with the correct oil and not repair the damaged caused by my mistake