thePPIteam con

Gabsteruk

I'm usually very careful with cold callers and give them a swift 'not interested' but I have been caught out by a company called 'thePPIteam'. Has anyone else experienced them and can anyone give me legal advise?
Several years ago I used a Claims Management company to reclaim some PPI. It was a minefield back then and I was reasonably happy to pay a fee of 16% +VAT, which was explained upfront.
In October last year I had a call from someone who said they had previously dealt with my PPI claim and that they believed I may have a further claim against MBNA. They told me that they would make a 'free' investigation to see if anything was owed to me. I was sent a Letter of Authority to complete so that they could legally represent me. The Letter of Authority is a series of questions with some small print that all relates to an agreement between the Lender and thePPIteam. There is a box to sign that 'I believe all answers given are true'
Believing that this letter just gave permission for thePPIteam to make an enquiry (free to me), I signed it. The next letter I received was a 'congratulations' on a successful claim and an Invoice for 39% +VAT !
At no point in the process have I signed a contract. At no point have I been presented with an estimated cost of fees. I was expecting a letter to say that a claim was possible and then a contract to sign where fees were presented and agreed. How can they invoice for services when we have not entered into a contract?
What legal rights do they have? I am prepared to pay them 16% +VAT as I initially believed they were who they said. I am not prepared to pay 39%. The amount they are trying to invoice is just over £2000. If I refuse to pay, would this go through small claims or could they take me to a court that could award excessive legal costs etc. ???

[Deleted User]

Gabsteruk wrote: »

can anyone give me legal advise?

If you want legal advice contact a legal professional.

However, Claims Management Companies have now had a 20% ceiling applied to the fees they are allowed to charge so I don't see how they can charge you 39%.

You say you haven't signed a contract, but your mention of signing a Letter Of Authority suggests that you have.

If you believe you are being overcharged, you need to make a formal complaint to the firm and then refer it to the Legal Ombudsman if you are unhappy with their response.

You will only end up in Court if you simply refuse to pay them.


EDIT; Also discussed on a duplicate posting here;
https://forums.moneysavingexpert.com/discussion/comment/75265959#Comment_75265959

Gabsteruk

I have now sent a formal complaint and notice that I dispute their invoice. I have detailed non-compliance with Claims Management Regulator Codes of Practice as well as Data Protection laws. I have also pointed out the rules on direct marketing (cold calls) and the 20% cap on fees. I have given 8 weeks for a satisfactory response to all points raised before I present my complaint to the Ombudsman.
If I succeed I will share my letter and hopefully help anyone else who is having problems with this 'company'

Oliridd

Have you had much success with your challange? I am curently in the same position and am about to write an complain about the 39%fee

Nasqueron

Oliridd wrote: »

Have you had much success with your challange? I am curently in the same position and am about to write an complain about the 39%fee

If your contract was signed after the 20% cap, yes you should. If it was signed before, at best you would hope for a gesture of goodwill - they do not have to do anything.

inacrisis

Hi,

Did you ever get any further with this?

A relative is in the same position.

Charged 39%, never signed an agreement. the authorisation letter just lets the bank share info. It is nothing to do with a contract with this company!!

I too submitted a complaint but never heard anything back!

I have now submitted an official complaint to the financial ombudsman.

Thanks

[Deleted User]

inacrisis wrote: »

Did you ever get any further with this?

GABSTERUK and OLIRIDD have not logged in to this site since early last year and are now unlikely to return.

inacrisis wrote: »

A relative is in the same position.
Charged 39%, never signed an agreement. the authorisation letter just lets the bank share info. It is nothing to do with a contract with this company! I too submitted a complaint but never heard anything back!I have now submitted an official complaint to the financial ombudsman.

The 20% fee cap has been in place for over a year now and so any attempt to charge more should definitely be referred to the Ombudsman.
It looks as if you were caught, as many, by a "Free PPI check" offer which then morphed into a full blown complaint with the Claim Company demanding a fee.
As your complaint is already with the Ombudsman (who will have access to all the details from both sides) you may as well just let them get on with it...

inacrisis

Moneyineptitude wrote: »

GABSTERUK and OLIRIDD have not logged in to this site since early last year and are now unlikely to return.


The 20% fee cap has been in place for over a year now and so any attempt to charge more should definitely be referred to the Ombudsman.
It looks as if you were caught, as many, by a "Free PPI check" offer which then morphed into a full blown complaint with the Claim Company demanding a fee.
As your complaint is already with the Ombudsman (who will have access to all the details from both sides) you may as well just let them get on with it...

Just an update to this. Theppiteam have replied to me to close my friends case with no money owed. So well worth the time spent fighting this.

[Deleted User]

inacrisis wrote: »

Just an update to this. Theppiteam have replied to me to close my friends case with no money owed. So well worth the time spent fighting this.

Yes, no need to post multiple times about it on the same forum. I saw your first update..

(Any reason why your grandma is now simply your "friend":eek: )