Claiming PPI on cards where debt was sold on

Nasqueron

Spurs501 wrote: »

All of the debts have been paid off to the companies who bought the debts from the original lenders.

So there is nothing owing to the original lenders surely?

As Dunstonh says, if they still have the debt through some means (not sold on / contracted out etc) and money was written off as a result of the debt process then they can still offset it.


Remember even if you paid back debt companies 100%, it's likely that the banks lost money as part of the debt process - if you borrowed say £10000 and were going to pay back let's say £13000 with interest, if you paid back say £7500 and then defaulted and they froze it and wrote off the interest and agreed say a final sum of £1500, you still owe £4000 even if they don't chase it any more. Hence if you got a refund of PPI for £4000 they are perfectly entitled to use it against the unpaid money in most cases. It's all fairly complicated and you won't know until they either write to you saying they have off-set it or saying they are paying you out.

dunstonh

There do seem many obstacles - I thought thousands of people have reclaimed PPI with very little issues?

Surely my circumstances cant be that different to many others?

There are no obstacles to raising a complaint. Each case is looked at on its own merits.

Your scenario is not commonplace. Most people repay their debts. So, the introduction of a bad debt is a "complication" but one that effectively follows a flow chart (was debt sold on- yes/no. Does clawback exist yes/no etc). It gets to the the end result through a few filters. Filters actually have a slight consumer bias as it happens. After all, if you defaulted with the lender and it did get sold to a collection agency and there is no clawback and is now statute barred, then the lender could pay you redress. Despite you never paying the PPI premum in the first place as you defaulted.

Your complaint reasons are weak. That doesnt mean you wont succeed. It just means you are largely reliant on another failing being identified or an auto-payout. Some firms have only a 10% uphold rate. Others 90%. It varies across the board. Things are not all the same.

Spurs501

dunstonh wrote: »

There are no obstacles to raising a complaint. Each case is looked at on its own merits.

Your scenario is not commonplace. Most people repay their debts. So, the introduction of a bad debt is a "complication" but one that effectively follows a flow chart (was debt sold on- yes/no. Does clawback exist yes/no etc). It gets to the the end result through a few filters. Filters actually have a slight consumer bias as it happens. After all, if you defaulted with the lender and it did get sold to a collection agency and there is no clawback and is now statute barred, then the lender could pay you redress. Despite you never paying the PPI premum in the first place as you defaulted.

Your complaint reasons are weak. That doesnt mean you wont succeed. It just means you are largely reliant on another failing being identified or an auto-payout. Some firms have only a 10% uphold rate. Others 90%. It varies across the board. Things are not all the same.

Thank you.

I actually DID pay all of my debts - albeit to the companies they were sold on to, rather than the original lenders.

With the amount of interest I was paying I can assure you I paid my way!

You mention auto-payout....I have heard this mentioned before. I guess this would be for small claims that aren’t worth the lender investigating the claim?

-taff

Correct.....

Spurs501

What sort of value claim would lenders just auto-payout?

[Deleted User]

Spurs501 wrote: »

What sort of value claim would lenders just auto-payout?

Floor limits are variable and (of course) are not public knowledge.

Sorry.

Spurs501

Thank you!

Lets wait and see!

Spurs501

Had my first response today, from EGG (now Canada Square);

They have rejected my PPI claim, but have agreed to pay out on the Plevin ruling.

A cheque for £1,221.00 will be with me in 20 days (apparently!)