Northern Rock CCA is it enforcable? - please help

[mann01]

Hi All,

Please help me with this----

took out a loan of £25000 from northern rock and they have put on PPI on the loan too, I did tell them at the time that I do not want PPI, they told that if I don’t take the PPI my approved application will need to be put through the system again and the loan may not get approved again, also I may need to pay higher interest rate if it was approved.

 

I refused number of time that I do not want the PPI, however due to my circumstance I was pressurised in to taking the loan with PPI.

I have now stopped paying for the last two months due to my financial difficulties.[/font]

I need help and advice with the following please:

1. Is the loan Agreement Enforceable?

2. Can anything be done about the PPI?

3. Can I get refund on the PPI to reduce the debt?

At the time of the loan I was in full time employment and currently in full time employment

 

Please advice on how I should respond; following my request I have now received the attached CCA from northern Rock.

 

Many thanks Northern Rock CCA word.pdf

Edited December 17, 2008 by mann01

[42man]

I think you must write to them with regard to the PPI and make it known of a clear dispute.....the agreement looks enforceable at first sight....

[mann01]

Many thanks 42man for your help.

 

Hi,

 

Does anyone have any template for wrongly sold PPI that i can send please

[Josie8]

Sorry 42 Man but if the circumstances of the PPI are as stated then the agreement is unenforceable as well as the PPI reclaimable.

[42man]

Apologies....spot on Josie ty

[mann01]

Josie, thanks for that,

 

How would you reccomend me to respond to NR

 

I was just about to send the the letter below (sorry english is not my best)

 

 

 

 

Account number: [12345678] Account DISPUTED

 

 

I purchased the above policy from you in 1st Jan 2005 but now believe that I was mis-sold this policy for the following reasons:

 

This is due to the fact that I contacted you on 28 Dec 2004 and you informed me that I could not cancel the policy; only be able to cancel the policy if I took out a new credit agreement. As the FSA has now stated ‘no refund’ terms are considered unfair I would like my original cancellation request to be honored from 28 Dec 2004

 

· This is due to the fact that I was not given the correct information when the policy was sold to me, as your salesperson stated that taking out the policy would assist my credit application.

• your salesperson was very pushy in selling me the policy so that I felt I could not say no, even though I said “no” at least in 4 occasions. If you listen to the recorded calls this will be verified.
  

• your salesperson did not tell me that the policy was optional and I have since realised that I have alternative cover.
  

• your salesperson implied that taking out the policy was essential for me to get the associated credit and that if I decided to not take the PPI a new application for the credit will be required and it may not be approved. Even though you have just approved the loan amount. I was put undue pressure to accept the loan with PPI
  

• your salesperson did not allow me to cancel the PPI when I called on receipt of written agreement I was informed that I could not cancel the policy and new application will not be approved without PPI
  

• i am concerned the sales assistant that sold me the policy has no financial background and the policy was not sold in my best interests.
  
• 
  

Unless you can satisfactorily justify to me that the policy was fair and reasonable I am requesting a full refund of all premiums, and subsequent interest on these payments, that I have paid to date. As I believe I have been deprived of this money I also expect 8% statutory interest, the amount a court would award, to be added to each payment made. I will not be making further payment on the account until this dispute is resolved.

 

I look forward to a full and prompt response to this letter and for the matter to be concluded within eight weeks or I shall be contacting the Financial Ombudsman to investigate my complaint.

Yours faithfully,

Edited December 18, 2008 by mann01

[davey77]

Also, what about cancellation rights? Are they not part of the Prescribed Terms? I can't see any of the usual references to them (that i have known) on Mann01's agreement.

[fuzzybobble]

Also watch out if NR offer you a large discount of 30% off the total if you settle in full once you fall 2-3 months behind with repayments.

 

Had a tip off in 2007 that it means the agreement is unenforceablein some way. With mine it looks as if they only have a photocopy and not the original that would need to be produced in court. Photocopies can be easily scanned and photoshopped, then reprinted on a laser printer. It would be very difficult to prove this isn't the case without the original agreement.

 

Remember that Banks and DCA's never offer large discounts without a good reason to.

[davey77]

Interesting! I've had a 50% discount offer from MBNA in the past! hmmm

 

(as well as the offer of a 50% discount on a 5k account from HFC 3 months after requesting an agreement, and two months after i challenged that agreement)

Edited December 30, 2008 by davey77

[N.P]

Hi mann01,

 

I`ve just came across this threa via a link from the Multiple Agreements Thread.

 

Your agreement does seem to have all the correct Terms and also a Signature box for the PPI, which you have signed.

 

The problem will be convincing them or a Judge that you WERE informed you MUST have it or you wouldn`t be accepted.

 

Did you send you letter away to them? Have you had a reply?

 

 

 

N.P

[mann01]

Hi NP thanks for looking at my posting,

I have sent them the above letter regarding mis-selling PPI and sent £10 for S.A.R.

 

still waiting for response

[N.P]

Ok mann01,

 

There`s nothing to do really until you get a reply of some sort.

 

Did you send it Recorded Delivery?

[218bhp]

This thread is very interesting as I too have a NR loan with PPI.

 

During the first 30 days of the agreement I phoned NR and told them I did not want the PPI but was told that I would have to go through the system again and may not get accepted - pretty much the same story as above.

[mann01]

Hi Guys,

 

Recently received an update from Northern Rock, what i understand is that they will refund the PPI in full and allocate the PPI refund towards the arrears on the current loan.

 

They requested me to sign the acceptance form and theywill set-up new loan without PPI.

 

My circumstance is such i cannot afford the new loan. Please, need your help on how I should respond. I have attached recent letter (3 pages)received.

 

I would be intrested in a full and Final if offered.

 

Many thnaks

Northern Rock PPI letter page 1.pdf

Northern Rock PPI letter page 2.pdf

Northern Rock PPI letter page 3.pdf

[N.P]

If you are happy with your original Loan, tell them you will only accept payment via cheque, to be deposited into any account of your choice.

 

It is your money and you will use it as you decide, not them. If it was not for their greed you would still have that money.

 

Also, I`d be VERY warey of changing agreements.

 

Wait until they cancel the original one, then tell them your not interested in another

[mann01]

Thanks NP,

 

Any other comments or suggestion please

[218bhp]

mann01 - It seems like a very long time between you sending off your SAR request and them accepting is was mis-sold!!

 

What went on in this period? I've only just sent my SAR in the last few weeks.

[mann01]

After sending the SAR i received letter from Northern Rock saying that the PPI was not mis-sold and demand for full payment. They passed the account over to number of different collection agency, i ignored most of their calls and told them that it was mis sold and i want my full refund.

 

Its taken a long time to get a response from them.

 

I am not sure how i should respond to their recent offer, i not no idea how i can the the loan written off or settled.

 

I have been approched by number of companies offering to take on my case to get the debt written off - not sure what to do

[mann01]

Hi Guys need help with a response

this is what i plan to send to Northern Rock

 

Address

Post code

 

Date

 

 

 

Dear Sir /Madam

 

Thank you for your recent dated 20 Oct 2009. I am pleased that you are agreeing to refund the PPI in full including interest to the sum of £4590. I would only accept the refund in cheque to payable to Mr Mann Mann. The PPI was mis-sold to me and I do not agree to any off-setting of this fund, on receipt of the refund I will decide how this is used.

 

Yours Faithfully

 

 

Mann01

[N.P]

Hi Mann01,

 

Just thought I`d tidy it up a little

 

 

 

Dear Morons,

With reference to your recent letter dated 20 Oct 2009.

I am pleased that you are agreeing to refund the PPI in full including interest to the sum of £4590. However, I will only accept the refund in the form of a cheque, payable to Mr Mann Mann.

The PPI was delibrately mis-sold to me, and I do not agree to any off-setting of this refund.

I look forward to receiving £4590 within 14 days of this letter. On receipt of the refund I will then decide my best course of action.

 

 

Yours Faithfully

[mann01]

Thanks so much N.P for your help:)

[mann01]

Hi Happy new year to you all,

 

I have now received a response to the above letter from Northern Rock.

 

They have agreed to refund the whole amount and will not be off-setting against new loan. However they are asking me sign the acceptance form and they will set up a new loan agreement for outstanding balance without the PPI, once the new loan set up they will refund the PPI into my account.

 

I am not sure what to do and how i should respond to this.

I have not paid them over 1 year now, i really don't want another loan agreement as i cannot afford to pay.

 

I will be happy if they just use the PPI refund amount as a full settlement to the account - not sure how i should proceed with this

 

please advice.

NR letter 020110 P1.pdf

NR letter 020110 P2.pdf

[itsamomentintime]

Hi Happy new year to you all,

 

I have now received a response to the above letter from Northern Rock.

 

They have agreed to refund the whole amount and will not be off-setting against new loan. However they are asking me sign the acceptance form and they will set up a new loan agreement for outstanding balance without the PPI, once the new loan set up they will refund the PPI into my account.

 

I am not sure what to do and how i should respond to this.

I have not paid them over 1 year now, i really don't want another loan agreement as i cannot afford to pay.

 

I will be happy if they just use the PPI refund amount as a full settlement to the account - not sure how i should proceed with this

 

please advice.

 

 

 

typical bullying bank, trying to negotiate on their terms

 

the ppi was mis-sold, end of.

 

send a letter before action, and keep to your terms

[mann01]

Thank you.

 

 

sorry, does anyone have a sample of letter before action please.

 

Any other comments or advice on how i should proceed.

[mann01]

I am thinking of sending this - any advice please

Dear

 

 

I am in receipt of your letter dated xxrd December 2009 in which you respond to my assertion that Northern Rock has Mis-Sold Payment Protection Insurance (PPI) to me when I took out the above loans.

 

I am please that you agreed to refund in full including interest of £5xxx.76 and not use this fund for any offsets, which resulted from deliberate mis-selling of the PPI initially. I will not accept to any new loan agreement until my PPI is fully refunded.

PPI is not a compulsory product when taking out a loan, and adding PPI to my loan account in this way is a clear breach of both FSA regulations and guidelines and the Banking Code of Practice provided to the financial services industry. As a respected financial organisation, you will have been quite aware of these regulations and this makes your organisation's action even more serious. It is extremely poor business practice to say the least.

 

 

I would remind you that the FSA takes the Mis-Selling of PPI extremely seriously and you will be aware that recent investigations by both the FSA and the Competition Commission have found that lenders continue to engage in "poor sales practices" and that "customers were not informed orally of both the monthly and total cost of their PPI". (FSA report, 30 September 2008.)

 

I would also draw you attention to the FSA’s latest report on the 29th September 2009 titled FSA unveils tough measures to protect PPI consumers

I request the refund of all moneys paid to you for the above policies including contractual interest within 14 days of receipt of this letter by you. I will not agree to accept any new agreement until I have received my full refund in cleared fund. If you do not comply with my request, I will have no option but to escalate my claim to the FOS and the civil courts. I should remind you that the FOS take the issue of Mis-Selling of PPI extremely seriously and in many cases, have imposed large fines on financial institutions who are in breach of regulations.

 

 

Yours sincerely

Edited January 5, 2010 by mann01
typo