Thread: Barclays PPI with business loan

Originally Posted by riproarer

Hello to all...
I have used this site a few times for all your fantastic advice!

So I hope im posting in the right place!

In 2003 my partner took out a business loan with Barclays, asking for £12000.00.
He was not given any choice other than 'how much do you want to pay per month'?
In answer he said £200.
The 'business banking manager' said no problem, 10 year fixed rate...

The paperwork showed the following;
Loan £12000.00 at 9.9%-total credit £6646.07
Insurance premium loan £3303.01 at 9.9%-total credit £1829.46.
Repayments of £198.16 over 120 mths.

He was not told the PPI was optional... he had in place since 1996 a seperate policy as he is self employed!
We do not know if it is a single premium...
It was not explained that he would be paying interest on an insurance for 10yrs!!

I have been through a few posts and have found some great advice...

But my question is....
We feel it was definatley mis-sold, but what do i need to look for in this paperwork?

The paperwork for the loan is a print out from the branch and does not lay out the terms under the consumer credit act...is this right/legal?!

We have sent a S.A.R - (Subject access request) letter and the reply was the same paperwork as i already have!

So can we try for the whole PPI premium + interest paid?
How does this affect the outstanding loan??

We had been looking at paying it off early but this stopped us in our tracks!

Thanks for your time.x

Hello and welcome,

I would say yes, you should start the process of reclaiming back your mis-sold ppi, regardless of it being a business loan or not.

Did you receive any policy documents or terms and conditions of the ppi and did you ever find out who the policy was with?????????

This is the amount you are after
Insurance premium loan £3303.01 at 9.9%-total credit £1829.46. and make sure you calculate 8% interest on top from the date they took the loan. You will find calculation spreadsheets in the bank template letter sticky on the main page of the forum

Be mindful that the ppi on the loan may still be active, if it is cancel it, If there is any unpaid ppi left in the pot, they will refund it back into the outstanding balance, therefore reducing it.

Do this as soon as you can, telling them you now wish to cancel the ppi and you require written confirmation of the Breakdown of the refund.

Once you know where you are at with this, you can then go for the portion that you have paid for

Do everything by recorded delivery and keep everything in a file. This is your paper trail Do not ring them unless you can record the conversation, as they will say anything over the telephone and then of course deny it.

Shout it you need help