Thread: Welcome Finance - PPI

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Originally Posted by craigamc

Hi All

I have recently written to Welcome Finance to cancel and have refunded the PPI.

I have just located the Agreement and payment Breakdown which was issued when the loan was paid to me and interest has been added to the PPI and Lifecare - is this allowed?

thanks

Hello Craigamc,

There is great debate as to whether or not they can do this, regardless they do it anyway. Most consumers are oblivious to this fact, that the ppi may only cover a limited time over the length of the loan, but the interest is charged over the whole term of the loan. There is information regarding this in the ppi information stickies and also on the massive thread consumer credit agreements. I will have a scout for info if I find a minute spare.

An example, I was charged £4,660 for a ppi, the term was for 10years.

The APR was 8.9% How they calculated the interest was they added the interest at 8.9% and multiplied this by 10years, so the interest charged was actually 89% of the cost of the ppi. So infact I was charged over £8,000 for a policy I was never told about, it was just applied I have of course had this returned:grin:

The issue is regarding whether or not your ppi has been mis-sold or not

What is your story>>>>