Thread: PPI FirstPlus - Can I claim ?

I'm new to this and like others looking for help/advice.

We took out a FirstPlus "top-up" secured loan in November 2006. The loan was for £64K and PPI of £16K was added. I recall asking over the phone if I needed to take the PPI to get the loan and was told that I didn't need to take out the PPI. Therefore I worry that I don't meet the definition of misselling. However, from reading this site it would appear there may have been misselling as I don't recall anyone asking me whether the PPI was suitable for me or being told I could arrange alternative cover elsewhere. I may have had similar illness cover with my job at that time (have changed jobs since then but will try and check) and the loan was in joint names for my wife and I and she was unemployed at the time we took out the loan.
Another thing which was what attracted me to the PPI in the first place is I recall when it was first mentioned by the salesperson (all arranged over the phone although documents posted to me for signature) they said if I didn't claim within the first 5 years I would get a refund of the premium and I could do with it what I liked. I could use it to repay part of the loan or keep it for other purposes. Has anyone else heard of this - is this usual ? I recently enquired about cancelling the PPI and was told the refund would not be given to me as cash but would be used to offset part of the loan so I didn't pursue it (the refund was only a fraction of the premium in any case).
I have 1.5 years to go and cash is tight for us just now. I wondered if I had any basis for a claim and if so what am I due ?
I can't afford to repay the loan or arrange alternative finance but if I was to get a refund of the interest we have paid on the premium to date together with the up front premium being waived (which is how I believe it may work but would be grateful for advice) that would be a significant result for us (app. £5 - £7K refund going by the calculator but it did baffle me quite a bit and also app.£125/month reduction in repayments). However, before pursuing I wondered if anyone thought we had valid grounds, and if so on what basis and what could we expect to receive (roughly). Alternatively I may wait to the end of the 5 years but fear they will move the goalposts by then and say I can't get the cash and just offset against the loan which would include the premium.

Also wondered if anyone has experience of winning against FirstPlus and whether they get difficult with the loan that remains after the PPI dispute.
Thanks in advance for any advice.
Brian