Overdraft PPI - Reclaim overdraft fees + PPI fees/interest?

edited 30 November -1 at 1:00AM in Reclaim Bank & Credit Card Charges
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epicbagelepicbagel Forumite
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I just received a successful PPI reclaim payment with Barclays for £52. I was paying 40p a month since 2010 until last month for PPI cover on my £5k overdraft. At the time, there was no way to opt-out of taking the PPI when the overdraft was being set up.

Over those 7 years, I've paid out interest and charges on this overdraft - I'm always quite a bit into the overdraft, so fees range typically from £30 to £80 a month. Over those 7 years, I've paid around ~£4k in fees etc (note: fees to use the overdraft, not the PPI itself).

Can these fees also be reclaimed as part of the PPI claim? That is, should the fees I paid to use the overdraft + interest paid on the overdraft be paid back alongside my PPI claim?

There's a number of posts on here, but they more-so relate to refunding these fees in cases of financial hardship etc.

Many thanks.

Replies

  • dunstonhdunstonh Forumite
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    At the time, there was no way to opt-out of taking the PPI when the overdraft was being set up.

    If that was true, your complaint would not have been upheld. Where it is not optional, you cannot be missold. more likely you were told it was not optional when it was.
    I'm always quite a bit into the overdraft, so fees range typically from £30 to £80 a month. Over those 7 years, I've paid around ~£4k in fees etc (note: fees to use the overdraft, not the PPI itself).

    So, the fees themselves have nothing to do with the PPI as you would have paid them anyway.
    Can these fees also be reclaimed as part of the PPI claim

    in your case, no because of the above answer.

    You could make a case for the interest on each 40p to be refunded. However, the interest part of the redress is there for that purpose. So, your £52 will be part interest, part redress (refund)
    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.
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