ARGOS Coversafe Plevin Refund

Placida

Just received cheque £1,239.87 for a refund of excess commission and profit share relating to my Argos card Coversafe policy premiums (£263.34) paid between 2004- 2011.

(My PPI complaint was previously rejected as pre-2005).

Breakdown of annual Plevin redress values shows the unfair commission & profit share refund varied between 33.5% and 37.6% per year of premiums paid!! Compound interest was then added to each year’s refund.

Complaint was settled in just over 8 weeks.

[Deleted User]

Placida wrote: »

Breakdown of annual Plevin redress values shows the unfair commission & profit share refund varied between 33.5% and 37.6% per year of premiums paid!!

An odd refund then since Plevin refunds are only supposed to be of undisclosed (not "unfair")
commission over 50%.

Placida

Moneyineptitude wrote: »

An odd refund then

Not sure what your point is?

Moneyineptitude wrote: »

since Plevin refunds are only supposed to be of undisclosed (not "unfair")
commission over 50%.

Disagree.

FCA "We have carefully considered all the feedback on this point, but see no reason to change our views or approach. So, we are basing our final approach around a single presumptive tipping point of 50%, which we remain of the view is fair and appropriate and not remote from the approach the courts would take."

So if 50% commission is fair, any commission refunded (i.e. over 50%) is deemed unfair.
Do remember that my refund also included profit share and interest.

Argos states my redress “has been calculated in line with guidance provided by the Financial Conduct Authority with the aim of putting you back into the position you would not have been in had the unfair commission and profit share elements not been included in the premiums charged for your policy.”

DISP App 3.7A.3A

[Deleted User]

Placida wrote: »

Not sure what your point is?

My " point" was that the "unfair" commission you quoted was well below 50%

Regardless, well done on your continued success.,.

Placida

Moneyineptitude wrote: »

My " point" was that the "unfair" commission you quoted was well below 50%

Are you referring to 33.5% or 37.6%?

Stated in the letter
We are refunding the amount of earned commission and profit share which exceeded the FCA advised threshold of 50% of the total of these two elements.

From the Breakdown of annual Plevin redress values;
For the financial year March 2011 to February 2012, I paid a total of £44.65 in premiums. I was refunded £16.78.

£16.78 is 37.6% of £44.65 and was described as a commission and Profit share refund percent and yes it is below 50%.
Why is this an issue for you? Why is it an "odd" refund?

[Deleted User]

Well done on your continued success.

Placida

Moneyineptitude wrote: »

Well done on your continued success.

£1,239 is quite low compared to the PPI redress I have received since 2012.
However, considering I only paid premiums of £263.34, the compound interest applied has made it into a reasonable sum of money to receive before Xmas.
Certainly, my redress amount shows that Plevin refund calculations are rather more complex than "you will only receive a refund of commission over 50%," as I have seen posted on this forum.

NicNakNoo80

Did you receive a letter from Argos stating you could now claim for this? My ppi claim was also rejected by them (pre 2005) but then I received a letter this morning asking if I wanted to complain re- new Previn ruling. I have signed and sent it off so fingers crossed!

NicNakNoo80

Plevin sorry!

alwayspositivethinker

I had the same letter saying I could claim under Previn sent off the letter last week fingers crossed

societys_child

I had the same letter saying I could claim under Previn sent off the letter last week fingers crossed

How has Andre got involved in all this?