PPI Reclaiming discussion Part II

stereo_mike

Looking for a bit of help.

Can anybody advise where it actually states that MPPI cannot be made compulsory, as I am trying to fight a case, but can only find details of Insurance not being compulsory in the Banking Code, yet I am trying to fight an intermediary who are not a member of the banking code.

Any help would be greatly appreciated.

tiggrae

stereo_mike wrote: »

Looking for a bit of help.

Can anybody advise where it actually states that MPPI cannot be made compulsory, as I am trying to fight a case, but can only find details of Insurance not being compulsory in the Banking Code, yet I am trying to fight an intermediary who are not a member of the banking code.

Any help would be greatly appreciated.

??? I think the question you should be asking is where in law does it say it IS compulsory !! A loan company could place a contract term which states it is compulsory to have the insurance, but this would have no backing in law and would be an Unfair Contract Term within the Unfair Consumer Contract Terms Regulation 1999

lynz412

Please can someone help. I have an ongoing PPI claim with First Plus (which is now closing it's doors), the complaint was not settled with them and I sent the claim to the financial ombudsman in Feb 2008. I am still awaiting the claim to assigned to an assessor, which i believe takes about 6 - 9 months. Can anyone tell me if this is likey to get settled now they are closing? The loan is still running with them. PLEASE HELP!

tiggrae

lynz412 wrote: »

Please can someone help. I have an ongoing PPI claim with First Plus (which is now closing it's doors), the complaint was not settled with them and I sent the claim to the financial ombudsman in Feb 2008. I am still awaiting the claim to assigned to an assessor, which i believe takes about 6 - 9 months. Can anyone tell me if this is likey to get settled now they are closing? The loan is still running with them. PLEASE HELP!

Don't worry - first plus is part of Barclays - don't think Barclays are going under - also there is something called the Financial Services Compensation Scheme (government bodies) who deal with complaints against financial companies who are 'in default'

Also, first plus aren't 'closing' they're just closing to new business (ie they're not selling loans anymore thank the lord !!!)

stereo_mike

tiggrae wrote: »

??? I think the question you should be asking is where in law does it say it IS compulsory !! A loan company could place a contract term which states it is compulsory to have the insurance, but this would have no backing in law and would be an Unfair Contract Term within the Unfair Consumer Contract Terms Regulation 1999

Tiggrae, thanks for replying.

However, The Unfair Consumer Contract Terms Regulations 1999 refers to "individually negotiated" terms. How are you meant to know if this has occurred?? Surely the company can say that this only applied to my circumstances??

In my example, I was provided with a personalised illustration at the point of sale, which was obvioulsy for my cirecumstances (e.g. loan amount, product, personal details), but it is contained in the small print at the back that MPPI is compulsory, although this does not affect my stautory rights, and I was provided with details of a cooling off period

Mike

marshallka

Tiggrae, I have now started a claim with the co-op bank from December 2002 and settled in 2003. I have requested a copy of the agreement now 3 times and not been sent it so have written to them again. They have denied the claim (as i expected) so have now sent my second reponse to them. Have not received anything back yet but shoud i request a SAR or is it not necessary.????

Also pm'd you

roctw

sarahc5388 wrote: »

what's an IVA?

It's an individual voluntary arrangement. Enforced by court I paid a set amount each month to a supervisor who then divided that between my creditors. I ended up paying back about 65p per pound owed. Sounds good but isn't really!

Do you think I should write to HFC? I really think that this ppi didn't help my debts becoming a monster!

marshallka

roctw wrote: »

It's an individual voluntary arrangement. Enforced by court I paid a set amount each month to a supervisor who then divided that between my creditors. I ended up paying back about 65p per pound owed. Sounds good but isn't really!

Do you think I should write to HFC? I really think that this ppi didn't help my debts becoming a monster!

Tiggrae would be the best to answer this one. I think its classed as defaulting on the payments isn't it??? I am not sure though so wait for a proper answer. Perhaps you could write and ask and make a plee to them that you were induced to more debt because of it when you were clearly not able to afford. Was it a single premium and was it for the full term of the loan?

Have you still got this going or has been cancelled now you have defaulted?

m.colak

My understanding of the law is that if you can prove that the additional of the PPI contributed to the fact of you being in debt then yes you can fight the case saying that the PPI wasn't in your best interests and the company therefore didn't have your best interests at heart. This goes against the consumer credit act. However you will be only intitled to reclaim the amount of PPI & Interest that you paid upto the point of starting an IVA (Unless its a front loaded policy). The other good news is that the remaining amount (provided it wasn't front loaded) should then be deducted from the outstanding balance of the loan and therefore the remaining amount for which you were defaulted should be reduced.

However (and this is a warning) a IVA is an agreement between yourself and a creditor and therefore they might take offense at the attempt of you reclaiming monies from them or reducing your debt this way and may point this as a breach of the IVA and therefore attempt to recouperate the cost by negating the IVA which you had previously with them. In all case's of IVA's i would heartly recommend going via the FOS so as the whole episode is out in the open and the comapny can't attempt any dirty underhanded tricks.

m.colak

stereo_mike wrote: »

Tiggrae, thanks for replying.

However, The Unfair Consumer Contract Terms Regulations 1999 refers to "individually negotiated" terms. How are you meant to know if this has occurred?? Surely the company can say that this only applied to my circumstances??

In my example, I was provided with a personalised illustration at the point of sale, which was obvioulsy for my cirecumstances (e.g. loan amount, product, personal details), but it is contained in the small print at the back that MPPI is compulsory, although this does not affect my stautory rights, and I was provided with details of a cooling off period

Mike

Hi,

am guessing that they have tried to go around the law by stating its a mandatory payment protection insurance (MPPI) in this case and the fact was you didn't have to go and chose this product specifically or could have gone via another company. I would recommend getting a SAR from the company or fight the case under the misrepresentation act stating at no point did the company tell you there was a mandatory insurance requirement provided by themselves. If you completed the loan over the phone then ask for all copies of the phone conversation as this might assist in your case. If it is a case of purchase online then the distance selling regulations apply and you should look into this as well.

Unfortunately if it was sold in an office then its your words against theirs and this is where you need to get all the documentation you can to help you win the case.