Thread: Do you think I have a chance with my Egg Loan PPI reclaim?

I took out a £7.5k loan with Egg in September 2004 over 72 months (I increased my payments slightly during the term so it should get paid off at the end of this year (2009))

From memory, during the initial phone application, the repayment figure the sales person quoted was inclusive of PPI. No other replayment figures were quoted, and no other options were discussed.

The paperwork I got through did state that the loan was inclusive if PPI, but I assumed at the time that this was a requisite for having the loan. (The salesperson did not explicity state that it was a requisite, but he did not discuss any other options with me).

Do I have a case? Or will it be deemed as my own fault becuase I signed and returned the forms?

Similar Threads:

• Lloyds Loan PPI Reclaim
• settled loan, can i reclaim PPI?
• Want to reclaim PPI on a paid FD loan
• can i reclaim charges from my loan?

Originally Posted by flyingdoc

You certainly are in the frame for a case. Specially as Egg has recently been fined somewhere in the region of 750000 for misselling of PPI.

You need to do a Subject access request regarding your PPI.

Great news Many thanks!

I also has a much smaller loan with Northern Rock. My on-line application got referred (I didn't get an instant decision) so I had to contact them. In this on-line application I chose NOT to have PPI.

When I contacted them (as requested by the webiste) the advisor asked me if I wanted PPI, and stated that it would improve my chanes of getting the loan becuase "it demonstrates a more responsible attitude towards borrowing". I think I will be writing a letter to them too!

Originally Posted by flyingdoc

That is blatant misselling. They are NOT allowed to intimate that the loan is conditional on you taking out PPI.

I'm so glad this site exists

Letters to Egg and Northern Rock will be in the post tomorrow!

Originally Posted by dartvader

I took out a £7.5k loan with Egg in September 2004 over 72 months (I increased my payments slightly during the term so it should get paid off at the end of this year (2009))

From memory, during the initial phone application, the repayment figure the sales person quoted was inclusive of PPI. No other replayment figures were quoted, and no other options were discussed.

The paperwork I got through did state that the loan was inclusive if PPI, but I assumed at the time that this was a requisite for having the loan. (The salesperson did not explicity state that it was a requisite, but he did not discuss any other options with me).

Do I have a case? Or will it be deemed as my own fault becuase I signed and returned the forms?

I have just had another look at my agreement. (Just to re-cap - I took out this loan to pay off my Egg Credit Card. When I spoke to the salesperson on the phone, only one price was quoted, and this was the monthly repayment inclusive of PPI, no other options were discussed - I have sent the first template letter to Egg and so far received the standard "we are looking into your complaint" response).

The actual agreement sheet shows the princiapal loan amount (£6200) the Loan Payment Protection Amount (£1429.16) and the Total Amont (£7629.16). The next line just says Number of Installments = 72, and 72 Payments of £132.52.

There are no other figures shown anywhere i.e. no indication of what the loan will cost me in total inclusing the interest.

The back of the sheet is where I sign. There is just one signature required i.e. not a seperate signature for the loan and the PPI.

Does this add additional weight to my argument? I didn't include this in my original letter, but if it adds additional weight to the argument (and assuming Egg come back and say NO to me, then I could potentially throw this back at them??).

Also, I seem to remember emailing them through the secure messaging service sometime into my loan, requesting if I could cancel the PPI. I was told that I couldn't do this, but could take out a new loan without PPI. However, since the PPI was added to the total at the start of the loan, this would have meant the new loan would have included all these additional costs anyway so obviously I didn't take that up - is this another line of argument???

Hi dartvader

You certainly have a potential case for mis-selling. My friend is going through a similar process at the moment with an Egg loan also taken out in 2004. Take a look at our thread:
http://www.consumeractiongroup.co.uk...riend-egg.html

I'm sure your agreement is very similar to ours.

The rules about having two separate signatures for the loan and the PPI only came into play in 2005. However, there have always been rules about explaining all the terms and giving all the options AT THE TIME OF THE SALE, not just by sending terms and conditions through the post later. This is why there can still be mis-selling claims even though we have all signed the terms and conditions.

The point about there being such limited financial information on the agreement has led some posters to claim our (and probably your) agreement may even be totally unenforceable! But we are not getting our hopes up about that possibility too much yet.

Your secure message point is an interesting one as I believe that Egg do not as a matter of course include these in their SAR packs. However, that would be something to ask for in your follow up letter once you see what they do send you.

I would also be curious to see if you get sent any tapes of the phone calls when they sold the loan to you, as pinknico is waiting for hers, and I have requested them. Again, see my thread for details.

I would definitely say that collecting evidence is the first step, and then you can think about what arguments you want to put to Egg once you have the same information as they do.

If they keep saying no then you can go to the Financial Ombudsman.