PPI Reclaiming discussion Part II

grange_194

I am self employed and in April 2003 took out a loan with Lloyds which I was told I had to have insurance or they wouldn't let me have the loan. 2.5 years into the loan I tried to cancel and was told the insurance was paid up front first so they couldn't or wouldn't cancel. I paid off the loan using my TSB credit card which had a better interest rate at the time to what the bank was offering. I have done a letter regarding a refund using the one on the website but am I entitled to any compensation re my credit card as its with the same bank. Regarding the PPI on the loan am I due back a full refund plus 8%? Hope so as tax bill due end of January.

dreamer33

sean_ryder wrote: »

if you are reclaiming miss sold PPI especially if it was a lump sum premium added to the loan if the premium is stated as part of the credit and not a cost of credit then this renders the whole loan unenforceable ! I looked into this with a firm called Project Zero in Stockton and found them very help full.

What do you mean by as part of the credit and not a cost of credit?

kiekie

di3004 wrote: »

Hello there and a big welcome.

Right hun yes you have grounds to reclaim this back, please check this link below here:
http://www.moneysavingexpert.com/reclaim/ppi-loan-insurance

Here you will find some useful info about PPI and a template on that site.

Get a letter in, use that template to help guide you through this, add as much info as you can.

They have 8 weeks to respond, if unsuccessful first time round, and they fob you off another letter can be sent in order for them to reconsider, and if stilll unsuccessful its time for the financial ombudsman service.

Post by recorded delivery to keep an eye on the timescales.;)

May I ask who you had taken out the loan with and when ?
Thanks.

Please just yell if you want more info, anytime.;)

Good luck
Di.

Thanxs Di3004,
my loans was done through Advantage Finance, taken out beginning or november last year.
So am i rote in thinking that the procedure is similiar to that for claiming bk bank charges?
Will get letter done tomorrow and in registered post first thing monday morn.

sean_ryder

dreamer33 wrote: »

What do you mean by as part of the credit and not a cost of credit?

I mean if the premium is added to the loan and is quoted as part of the overall credit it should be quoted seperately as a cost of credit , to show you how much the borrowing of that premium truly costs. The whole of Schedule 6 of the Consumer Credit (Agreement ) Regulations 1983 deals with this issue and there was a case that set this out Wilson -v- First County Trusts ltd (2001) and Wilson -v-First County trust ltd (2001).

Speak to Project Zero .... great help for me

dreamer33

sean_ryder wrote: »

I mean if the premium is added to the loan and is quoted as part of the overall credit it should be quoted seperately as a cost of credit , to show you how much the borrowing of that premium truly costs. The whole of Schedule 6 of the Consumer Credit (Agreement ) Regulations 1983 deals with this issue and there was a case that set this out Wilson -v- First County Trusts ltd (2001) and Wilson -v-First County trust ltd (2001).

Speak to Project Zero .... great help for me

My PPI was a single premium but was set out separately eg

amount of advance (loan amount)
optional PPI (even though the PPI box was already pre-ticked) PPI amount
Total loan loan + PPI added together
mthly interest rate

APR
estimated number of payments
monthly payment

Not sure if mine is as you state.

di3004

grange_194 wrote: »

I am self employed and in April 2003 took out a loan with Lloyds which I was told I had to have insurance or they wouldn't let me have the loan. 2.5 years into the loan I tried to cancel and was told the insurance was paid up front first so they couldn't or wouldn't cancel. I paid off the loan using my TSB credit card which had a better interest rate at the time to what the bank was offering. I have done a letter regarding a refund using the one on the website but am I entitled to any compensation re my credit card as its with the same bank. Regarding the PPI on the loan am I due back a full refund plus 8%? Hope so as tax bill due end of January.

Hi there
Another one with Lloyds.
Yes get a letter of complaint letter in to reclaim back all you have paid in ppi plus the interest.

read through this link here:
http://www.moneysavingexpert.com/reclaim/ppi-loan-insurance

You will also find a template to help you with your letter.
Try to keep it in your own words and add your reasons of why you believe you were mis sold.
They have 8 weeks to respond.

Please send by recorded post to keep an eye on the timescales/dates.

Then if you could let us know on here what they say, in case they fob you off with one of their standard template letters, because another can be sent for them to reconsider this, if they do not come back with a favourable response this can then go to the financial ombudsman service.

We will work through this step by step and good luck!

di3004

sean_ryder wrote: »

if you are reclaiming miss sold PPI especially if it was a lump sum premium added to the loan if the premium is stated as part of the credit and not a cost of credit then this renders the whole loan unenforceable ! I looked into this with a firm called Project Zero in Stockton and found them very help full.

Hi there Sean
Glad its working out for you, and good luck.
Don't you get charged for using these companies ?

di3004

kiekie wrote: »

Thanxs Di3004,
my loans was done through Advantage Finance, taken out beginning or november last year.
So am i rote in thinking that the procedure is similiar to that for claiming bk bank charges?
Will get letter done tomorrow and in registered post first thing monday morn.

Well done and everything crossed for you.;)

Please would you let us know when you hear from them and what they say ?
Thanks.

dreamer33

sean_ryder wrote: »

if you are reclaiming miss sold PPI especially if it was a lump sum premium added to the loan if the premium is stated as part of the credit and not a cost of credit then this renders the whole loan unenforceable ! I looked into this with a firm called Project Zero in Stockton and found them very help full.

How much did this cost you? if you don't mind me asking.

di3004

Some useful ppi info

http://www.cml.org.uk/cml/policy/issues/1552

http://www.moneywise.co.uk/news-views/2008/10/10/shoppers-ripped-ppi-costs