PPI reclaiming when paying through DCA?

aligerdie

Hi there,

sorry if this has already been posted, I have looked for a while, and I can't find what I'm looking for.

I have recently started a payment plan with a DCA for an egg loan which is approximately £8k.

On reading my original paperwork, the PPI is a hefty amount, and as the loan was arranged over the phone, I'm going to try and see if I have grounds to reclaim so I can pay a bit extra off the balance.

My question is, can I try to reclaim when the account is in the hands of a debt collection agency? And will this affect my payment plan which is currently set at something I can just afford?

Best of all, I am sooooo glad this site is up and running again :j I've been lost the last few days!!

jonesMUFCforever

Danger is that Egg may just repay any refund directly to the loan account to reduce the amount outstanding.
If you are happy with this that's fine, if you were expecting a nice lump sum you may be disappointed.

aligerdie

Well, a lump sum would be nice, but my aim would be to pay off some debts with it anyway, so if egg were to do that it doesn't bother me too much. I'm just worried that if I start to make a claim the payment plan will be cancelled and I'll be back to square one.
The thing is though, I'm sure the PPI was alot of money - nearly £1800, so obviously that would go a long way to paying off some of the loan, especially with the payments I'm making now!

jonesMUFCforever

You would only get back the proportion of the cover left - not the whole amount - unless you can prove it was missold to you.