Thread: Egg again

Thank you for your replies. I've written a letter but not sure about whether to keep the court route or the fos would be better. Please feel free to tear it apart as I really value your advice on this matter:

Dear Sir/Madam
Re: Egg Card account number: xxxxxx
And Egg Money Card account number: xxxxxxxx
While looking through the data which you have recently sent to me, I have notice that there are payments added to the accounts which are called; Card Protect and Credit Card repayment protector. These payments I believe are commonly known as Payment Protection Policies (PPI).

I was not informed that you had sold me this policy and neither did I at any time request it. As you had charged me for this insurance I believe it to have been mis-sold to me.

I have checked my credit agreements and there is no mention of PPI at all, if there had been I would have questioned it and would not have accepted it as it was unnecessary in my circumstance as I will explain later.

I believe you have not treated me fairly for the following reasons;


· The PPI was added to my card accounts without my knowledge.

· I understand that under such insurance I would not have been covered anyway due to pre-existing conditions which I had suffered from and continue to suffer from. I was never asked or consulted about anything that would have prevented me using this policy and nor did I ever receive any documentation about this policy.

· You knew that I worked for the NHS and as such have an excellent sickness pay arrangement that would have covered my payments anyway, but you still took payments for this policy.

Your responsibilities
I would draw your attention to the terms of the contract which you agreed to at the time that I opened my account. It is an implied term of that contract that you would conduct yourselves lawfully and in a manner which complies with UK law.

I am frankly shocked that you have operated my account in this way as I had always reposed confidence in your integrity and expertise.

I consider that your repeated representations that your charges are fair and reasonable are deceptive and that they have deceived me into agreeing to pay them.
Your concealment of the true nature of your charges has prevented me from asserting my right until now.

What I require
I calculate that you have taken £716.91 in payments from the Egg Card plus £184.45 (8% statutory interest, the amount a court would award) Total - £900.96.

Egg Money Card, £122.26 plus £29.04 ( 8% statutory interest, the amount a court would award). Total £151.30.
Total amount owed to me = £1052.26

My targets to resolve this matter
I hope that you will enter into a sincere dialogue with me about this matter and I am writing this letter to you on the assumption that you will prefer to do this than merely respond with standard letters and leaflets.

I will give you 14 days to reply to me accepting, unconditionally, my request in principle and letting me know a date by which I will receive payment.

If you dispute that I am entitled to a refund of these charges, I request that you forward within the above mentioned time scale, a copy of the terms and conditions that were in force at the time my account was opened, and any subsequent amendments to those terms and conditions. These are requested under CPR Pre-Action Protocol 4.6(c), and failure to provide them will be brought to the attention of the court, should it be necessary to commence a county court action.

If you do not respond, or you do not respond positively, within this time period, I shall send you a letter before action giving you a further 14 days in which to reflect. I believe that these targets are more than sufficient for a large company such as yours with dedicated staff and departments.

After that, there will be no further communication from me and I shall issue a claim at the expiry of the second deadline.

Yours faithfully,

Thanks in anticipation.

Thank you. I did notice it after I posted it and have changed it to read...

I am frankly shocked that you have operated my account in this way as I had always reposed confidence in your integrity and expertise.
Your concealment of the true nature of your charges has prevented me from asserting my right until now.

I did get it from the bank charges letter as I couldn't find the PPI one. I look forward to hearing what you think later.

Just recieved this reply from Egg on the secure messaging system
Thanks for your message.

I've looked on both your Egg Card and Egg Money account applications and card repayment protection is clearly shown as taken out at application stage.

You had access to your online account 24 hours a day and it was your responsibility to check you account regularly to make sure everything is in order.

As these charges have been applied to your accounts correctly I'm unable to offer a refund.

Please feel free to contact me again.

Regards

Simone Sinclair
Internet Customer Services

I will now send the second letter and give them a further 14 days for their final response. Not sure whether to go fos or the court route?? I've also read about some people using Money Claim- Can anyone explain what this is please?
Thank you

Thanks guys, very helpful. Going to send the lba this weekend.

Sent a 2nd letter over the weekend:
Dear Eggy,
Thank you for your reply.
I have studied the information sent with my DSIR and there is no application which shows that I requested Credit Card Repayment Protection. Can you please forward what you have to me as you appear to have left it out of the information which you have sent me and that I requested and paid for? Thank you.

I would draw your attention to the terms of the contract which you agreed to at the time that I opened my account. It is an implied term of that contract that you would conduct yourselves lawfully and in a manner which complies with UK law.

When I took the Credit Cards with your company, I was not offered a full and detailed explanation of payment protection insurance, neither was I aware that I had it. It has only become apparent to me after the recent coverage by the media, and following the recent OFT and FSA investigations regarding the mis-selling of ppi by finance companies.. This is when I requested the DSIR.

I believe I that I have been gravely mis-led by your company at a time when I was facing financial difficulties and have been mis-sold this expensive insurance that I did not need or want.. At the time of this application I was in full-time employment with no risk of redundancy, a fully paid salary for 6months of sickness, had a generous Life Insurance and critical illness insurance policies.

No attempt was made to ascertain if the product provided was fit for purpose, suitable for my needs or if indeed it at all. No inquiry was made as whether I had pre-existing insurance for accident, illness or unemployment. I was not given a copy of the insurance policy nor were any rights to cancel explained. I believe you manifestly failed in your fiduciary responsibilities, your duty of care.

I understand under the Consumer Credit Acts and following a House of Lords judgment, that you are not allowed to make a loan or credit conditional on taking PPI unless you include the costs of PPI as part of the charge for credit and not the credit itself.

You did not do this. You added it to the total for credit and then charged me further interest on the premium on top of the interest for the cards. This is unacceptable.

Finally I believe insurance contracts are contracts uberrimae fidei (contracts of the utmost good faith) which imposes on you a “duty of disclosure of all material facts because one party is in a strong position to know the truth.” Inter alia, I believe that you should have disclosed to me that the type of policy you sold me, did not give a pro-rata refund in event of early settlement. I believe you should have made it clear to me that the policy generated large profits for you. You failed to do this. I believe that you have also therefore failed in your duty of disclosure. Your failure to disclose is misrepresentation at common law.

What I require

Your concealment of the act of mis-selling has prevented me from asserting my right until now. I believe that there are strong grounds for action against you under common law, statute and consumer regulations.

I calculate that you have taken £716.91 in payments from the Egg Card plus £184.45 (8% statutory interest, the amount a court would award) Total - £900.96.Egg Money Card, £122.26 plus £29.04 (8% statutory interest, the amount a court would award). Total £151.30. Total amount owed to me = £1052.26I am writing to ask you to refund the premium paid together with interest equal to your APR at the time under the accepted principle of mutuality and reciprocity.
I hope that you will enter into a sincere dialogue with me about this matter and I am writing this letter to you on the assumption that you will prefer to do this than merely respond with standard letters and leaflets. I will give you 14 days to reply to me accepting, unconditionally, my request in principle and letting me know a date by which I will receive this payment.

If you do not respond, or you do not respond positively, within this time period, I shall send you a letter before action giving you a further 14 days in which to reflect. I believe that this time frame is sufficient for a large company such as yours with its dedicated staff and departments. After that, there will be no further communication from me and I shall issue a claim at the expiry of the second deadline.

Received an email from them today saying that they have sent the case upstairs. Will keep you informed of what happens. THanks for the help so far.

This is now with the fos, so I'm waiting to hear.
I wonder if anyone can help with this loan I had with them.
I took out an Egg loan in 2003 for £15,000 to which they added £1,203.30 PPI. Total £16,203.30 over 6 years. The loan was consolidated into another one in 2005 and after 23 payments. The balance then stood at £12,028.63. They then added 'PPI Removal and Credit' £538.46 to the loan and the total then was £11,490.17.
I complained after recieving my DSIR that I was misold the PPI as didn't need it due to working for the NHS and having a good sickness package and also that I didn't know that I even had it. They have written back telling me about the rule of 78 and that they have closed the complaint. My questions to you knowledgable people are;
Do i have a case here to continue to press on with the misselling, in the light that paid back what they say was the remaining PPI into the loan?
I don't know if I'm wrong, but my view is that they should recalculate the loan payments made as if the PPI had not been added. I would appreciate your help guys. Thanks in advance.

Originally Posted by steven4064

You are right, they should. You need to calculate what you reckon they owe you and then start a claim for that.



BTW, the rule of 78 is illegal now.

That's the trouble I don't know where to begin in calculating what they owe me.
I didn't realise that the rule of 78 was now illegal, where would I need to go to find the information on that?
Thanks for your answer by the way.

Thank you for that. I've downloaded it and had a quick go but it looks quite complicated. I'll tackle it after the weekend. Thanks a lot.