PPi charges

Steveg1 · 22 January 2019 at 2:31PM

I make a ppi claim with a claims company 2 years ago
My bank has just said they made a mistake and have given me a refund. Do I still have to pay the ppi company?
My bank said they have sent a copy to the ppi company

[Deleted User] · 22 January 2019 at 2:38PM

Yes. After all, it was their legal skills and expertise that got you the refund.

[Deleted User] · 22 January 2019 at 2:39PM

Steveg1 wrote: »

I make a ppi claim with a claims company 2 years ago
My bank has just said they made a mistake and have given me a refund. Do I still have to pay the ppi company?
My bank said they have sent a copy to the ppi company

Of course you do, you formed a contract with them by getting them to act on your behalf. Without them you'd have no refund.

dunstonh · 22 January 2019 at 2:46PM

Actually, I disagree with the above. Although I suspect there is some tongue in cheek with their responses

The CMC service is deemed to have ended 6 months after the refusal by the bank (or later FOS). The exception is where the CMC was continuing action and had not closed the complaint at their end.

So, if two years ago, the CMC said nope, you were rejected and they are closing the complaint, you are not required to pay them any money. If the CMC said you have been rejected but we are going to continue an alternative method which is slower and may take a long time, then yes you do have to pay them.

kiwi86 · 27 January 2019 at 1:53PM

Hello dunstonh,
i would like to ask a question if possible please, in 2013 i unfortunately asked Brunel Franklin a CMC to submit a claim on my behalf, approximately 6 to 8 months later 2014 i had received confirmation from BF stating that there was no PPI and there can be no reason for complaint which was the end of the matter.
In November 2018 i was contacted by my bank to say that they had reviewed my claim as was per normal practice and had identified there was PPI, i then completed all the paperwork sent to me by them and dealt with the Bank myself and never even gave BF a second thought given that 5 years had passed i had had never heard anything else from them.
I have now received a letter from BF stating that i owe them £400 which i find astounding simply because the Bank had advised them.
I have read the advise you gave about the Ministry of Justice rules which i would like to confirm with you that they have no legal right to claim anything given what i have mentioned above. any advise would be appreciated please.

Nasqueron · 27 January 2019 at 3:33PM

kiwi86 wrote: »

Hello dunstonh,
i would like to ask a question if possible please, in 2013 i unfortunately asked Brunel Franklin a CMC to submit a claim on my behalf, approximately 6 to 8 months later 2014 i had received confirmation from BF stating that there was no PPI and there can be no reason for complaint which was the end of the matter.
In November 2018 i was contacted by my bank to say that they had reviewed my claim as was per normal practice and had identified there was PPI, i then completed all the paperwork sent to me by them and dealt with the Bank myself and never even gave BF a second thought given that 5 years had passed i had had never heard anything else from them.
I have now received a letter from BF stating that i owe them £400 which i find astounding simply because the Bank had advised them.
I have read the advise you gave about the Ministry of Justice rules which i would like to confirm with you that they have no legal right to claim anything given what i have mentioned above. any advise would be appreciated please.

You don't need any more information, Dunstonh has given you all you need - the claims firm presumably wrote to you closing the case, if so, they have no claim to the money. Refer them to the legal ombudsman

dunstonh · 27 January 2019 at 3:46PM

I have read the advise you gave about the Ministry of Justice rules which i would like to confirm with you that they have no legal right to claim anything given what i have mentioned above. any advise would be appreciated please.

https://www.gov.uk/government/publications/claims-management-companies-plevin-guidance/plevin-guidance-for-claims-management-companies
This refers to Plevin (unfair relationship commission refunds). Section 3 covers the key bit.

And back in 2014, bulletin 23 was released by the MoJ to cover reopened cases resulting in futher redress.
https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/342291/Claims-management-regulation-business-bulletin-Aug-2014.pdf

See second page under additional client fees.
If additional work to review concluded cases is
needed then CMCs will need to re-contract with
those clients who may not have received an
appropriate award. Letters of authorities will also
likely to have expired when the contract concluded,
and so will need to be reissued.

Your case was looked at in 2013 and your contract with BF ended in 2014 when they said there was no PPI and it was the end of the matter. Unless you have entered into a new contract with them, your contract is over.

You need to make a formal complaint to BF that you have no active contract with them as they closed the case back in 2014. And if they reject your complaint, you then refer it to the legal ombudsman.

kiwi86 · 28 January 2019 at 3:30PM

Thank you very much, your comments and the MOJ update has cleared that up for me.

PPi charges

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