Advice re: LTSB Loan with PPI

[thekat1979]

My parents took out a loan based on their joint back account so were told both signatures were needed. They bought PPI because it was a loan for a sizeable amount (approx 15k). They were told that under the PPI they were both covered when they applied for it (this was verbally done by the person making out the application - they asked if it was both of them covered and they said yes). My mother lost her job after a car crash meant she couldn't work for a fair while, and the company she worked for fired her for it. They thought they'd be covered by the PPI but when they applied for cover from it they said they were only covered if my DAD left work as he was the only one covered under the PPI. They definitely both signed the loan application, and they are almost positive they both signed the PPI section as they were told both signatures had to be on there. Would they be able to claim back the PPI on this? They have been unable to catch up since the problems with my mum being fired, and Lloyds keep phoning them once a week at the moment asking for money which they cannot afford. Due to her job loss they are struggling with basics like rent, but are paying Lloyds a fiver a month, but Lloyds are still hassling them, so any help that can be given to them would make their lives much more bearable. I've never had PPI because of an ongoing disability, so no idea how to proceed with this.

 

Many thanks.

[thekat1979]

I've read around a bit, and after looking at the Which guide to whether PPI was mis sold to them, I think it may have. They weren't told that they would be paying interest on the PPI that they had lumped onto the loan at the beginning of the agreement.

 

The loan was taken out over 7 years, and they were never told that their PPI would cover them for only 5 years (it may be for the 7 years, but will see what is on the documents once they arrive).

 

I THINK the correct approach is to carry out a full SAR to the bank in the first instance.

 

Once I've done that I will update on what they are sent.

[hellhasnofury]

I've read around a bit, and after looking at the Which guide to whether PPI was mis sold to them, I think it may have. They weren't told that they would be paying interest on the PPI that they had lumped onto the loan at the beginning of the agreement.

 

The loan was taken out over 7 years, and they were never told that their PPI would cover them for only 5 years (it may be for the 7 years, but will see what is on the documents once they arrive).

 

I THINK the correct approach is to carry out a full SAR to the bank in the first instance.

 

Once I've done that I will update on what they are sent.

 

Hello thekat,

 

It is amaziing what information you can find around the site and yes indeed you are correct.

 

Get your SAR sent off, remember to send it recorded delivery and check on the royal mail track and trace section to ensure they received it and start the clock ticking.

 

When it comes let us know and if we can assist you

[thekat1979]

This is for my parents so I'm not as keyed up and have as much access to documents for scanning.

 

But...can anyone offer a bit of advice as I feel a tad out of my depth.

 

They took out a Lloyds TSB loan out about 2 years ago, for around 15k, paying very nearly 5k on top of that for PPI. My mum was in a car accident not long after they took out the loan and was fired from her job. They tried to claim on the PPI and they were told that she wasn't covered, only my dad was. The loan was a joint loan, from their joint account, and they both signed for the loan and are almost positive they both signed for the PI too.

 

They have been skinting themselves for 2 years - without telling anyone - until last December, when they just couldn't handle it any more. They contacted LTSB who said that if they paid them £58 a month they would freeze interest. As it was only my dad working on a pretty low wage, they couldn't afford that. So, they paid LTSB a token payment of £5 each month, when their actual payment is nearer £400 a month.

 

They haven't been opening thier post from the bank at all, and I've gone through it with them toinght, and they were given a Default Notice early Feb, 16 calendar days later they got a final notice stating that they are going to take them to court if they don't pay them just over a grand to make up for the shortfall in their payments.

 

Is there anything I can do to help them? I've given them the phone harassment letter to send as they are being phoned by Lloyds in house collections department a lot and it is really upsetting them. I've also managed to convince them to send off a CCA request and gave them the money to do an SAR to see if they were mis sold the PPI.

 

What advice or hope can I gve them on this? They don't want to run away from this at all, but they want to get back in control somehow. It's not like any of the things I'm dealing with. It is currently still with Lloyds, but post default notice time.

 

I hope we can find a way to help them, I can't offer them financial help to get back in control but just how much control can I give them?

[thekat1979]

BUMP? Please?

[cerberusalert]

They took out a Lloyds TSB loan out about 2 years ago, for around 15k, paying very nearly 5k on top of that for PPI. My mum was in a car accident not long after they took out the loan and was fired from her job. They tried to claim on the PPI and they were told that she wasn't covered, only my dad was. The loan was a joint loan, from their joint account, and they both signed for the loan and are almost positive they both signed for the PI too.

 

When you get the CCA back & we have chance to look at it we'll be able to give you a more definitive answer, but depending on your parents circumstances at the time they may be able to reclaim the whole of the PPI if it was mis-sold & contary to what they have been told the PPI can be cancelled at any time.

[cerberusalert]

It is simple to cancel PPI: although sometimes they do try to talk you out of it, all you have to do is insist. But with loans, the premium for the PPI insurance over the whole term of the loan is calculated at the beginning and often added on to the loan amount so you are even paying interest on the PPI costs.

 

Banks often say that you are not entitled to cancel the PPI after 30 days, but what they do not tell you is that you should be able to cancel the PPI from this point on and get a partial refund. And there are also some circumstances in which you should never have been sold the loan in the first place. In these cases, you might as well ask for a refund of all the money you have so far paid in PPI. But even if the bank refuses this, you should still be able to cancel the PPI from this point onwards.

 

So, the sample letter is as follows:

 

Complaints department

Bank's name & address

 

Re: account

 

 

COMPLAINT

 

Dear Sir or Madam,

 

I took out the above loan for £x,000 on dd/mm/yy. When I took it out, I signed up for Payment Protection Insurance. I phoned up on dd/mm/yy to ask to cancel it and was told that this is impossible. I am writing to complain.

 

Put in any of the following which apply:

 

[When I took out the loan, I was told that I would not have been given the loan if I did not take PPI. I have since been told that this is not true, and that you are not allowed to make PPI a condition of taking out the loan unless you include the costs of PPI in your quoted loan interest rate, which you did not do. I therefore consider that I have been mis-sold this expensive insurance, which I do not need and which I said that I did not want.]

 

[i am self-employed/work as a contractor/unemployed and therefore will not be eligible for any payments from the PPI if I cannot get work or am sick. My situation was known to the person who sold me the loan, however he/she did not point out that the insurance was virtually useless to me so I think that I have been mis-sold the insurance.]

 

[When I took out the loan, I said I did not need the PPI as my employer provides generous illness and redundancy benefits, but I was told I should still take it out. As this is not correct, I consider that I have been mis-sold this expensive insurance, which I do not need and which I said that I did not want.]

 

[i wish to cancel the PPI because since taking out the loan, my employment situation has changed. I

 

am now self-employed/work as a contractor/unemployed and therefore will not be eligible for any payments from the PPI if I cannot get work or am sick.]

 

[i wish to cancel the PPI because I now have sufficient alternative insurance cover from my employer and other sources.]

 

[i wish to cancel the PPI because I am in financial difficulties and cannot afford it. I enclose a Statement of Affairs which shows this.]

 

I have been advised that I should be able to cancel the PPI contract at any time and receive a partial refund of the premium that I have paid. I would like to do this. [And in view of the way I was mis-sold the insurance, I would like to ask for a full refund of the whole premium.]

 

I would appreciate a reply to this letter within fourteen days. If you reject this complaint, I would be grateful if you could explain whether you provide an internal appeals process. If you do not, please supply me with a final response letter, so that I can take up the matter with the Financial Ombudsman Service.

 

Yours faithfully,

 

 

nb There is no reason why you have to be able to prove that you cant afford the PPI before you cancel it, so in theory you should not need to send an SOA ( statement of earnings). However, it helps because it puts the bank morally in an even worse position if their PPI is causing you hardship.

[thekat1979]

right they have back their things from LTSB with their agreement and stuff. as far as I can see it does have all the prescribed terms for both the PPI and loan, . They both signed the PPI section on the document, but they just noticed when they got it now that is states underneath that if it is a joint application, only the first named person on the agreement is covered by it. the agreement is signed by the person that sold them the loan, on the same day. The agreement is over 2 pages,

 

Nowhere does it state how long the PPI is for - just that it was to be paid back over seven years along with the loan. I'm not sure what else I'm supposed to be looking for, and they don't have a scanner for me to put it up.

 

should I be looking for anything else/ can anyone point me in the rigt direction/

[joneseyblod]

How do they work out who is the first named person? Was it a luck of the draw and whoever wrote their name first or something else?

 

It is worth checking the default notice too. Do you still have the envelope?

 

Firstly check the date of issue

 

Secondly check whether it was sent 1st class, 2nd class or business post (on envelope)

 

1st class is deemed served two working days (not weekends) after its date of notice, 2nd class and business post 4 working days.

 

Thirdly check the date arrears must be paid by. Is this date the final date or must payment to be made before this date?

 

Again you have to exclude non working days as payment cannot be credited on a day they do not work.

 

Finally from the date the default is deemed served (2 or 4 working days after) to the final day you can pay (or the first working day before if a sunday) does this give you a clear 14 days?

 

If not it is invalid and if they then terminate the agreement then legally they can only claim the arrears stated on the default notice, as they cannot reissue a second default notice on a terminated account.

 

Is the prescribed terms (apr, payment amount etc) clearly stated for both the loan and the ppi loan? They are two seperate loans and both must have prescribed terms. A lot of companies bundle the minimum payments, charge for credit, apr details together for both the loan and the ppi.

 

Hope the above is some food for thought.

 

Best wishes

 

JB

[thekat1979]

Hi,

 

They clearly set out the APR, payments etc for each - the PPI and the loan itself that is. I'll find out how they figured out who would go first on the form - does that make any difference?

 

As for the default notice, The date on the letter is EXACTLY 16 days before the date they say they have to pay by. When you say they must leave 14 clear days to pay, does that mean 14 clear working days, or 14 calendar days?

 

The envelope isn't much help, it just has a yellow bar code type stamp from a franking machine, no actual numbers etc.

 

I'm away from it all at the moment, but as far as I remember, they sent the default notice out on the 9th, telling them to pay the arrears by 25th - thats the sixteen days, then a few days after the 25th they got a letter dated the 25th stating that it was their final notice to pay the outstanding as they were going to take court action to recover the amount still owing. I thought they jumped on that rather quickly! LOL

 

Hope that sheds a bit more light - all help gratefully received?!

[joneseyblod]

It might make a difference, as if it was purely a toss of a coin as to who was first, or they made the choice of who was named first, in either case without making it clear that only this person would be covered for your parents to then consider who would be best to be covered then it could be mis-sold and misrepresentation.

 

If the envelope does not have a 1st or second class indication on it, then it is quite likely business post, which is treated the same as 2nd class and deemed served 4 working days after the date on it. If you could somehow organise scanning this in, at a library or something? And put on photobucket it would be really useful.

 

Lets cover both anyway.

 

So 1st class:

Sent out on the 9th February which was a monday.

Tuesday 10th is 1st working day, and wednesday the 11th it is deemed served.

From wednesday the 11th you then have the 14 clear days.

That takes you to Tuesday 24th.

In this scenario if it was sent 1st class the default notice allows the relevant days.

 

2nd class

Sent out on the 9th February which was a monday.

Tuesday 10th is 1st working day, and wednesday the 11th is second working day, thursday the 12th is third, and friday 13th served.

From friday the 13th you then have the 14 clear days.

That takes you to Friday 27th.

As the default notice only gives until the 25th it is invalid.

 

So working out if that envelope was sent business class is crucial. Dont lose that envelope!

 

Ther may be other issues like formatting of the default notice, such as not including key statements, ensuring certain sentences are made prominent, and if sentences are already prominent, key words in there are even more prominent. But without seeing the default notice it would be impossible to say if the formatting has been done correctly.

 

Best wishes

 

JB

[thekat1979]

I'll try and see if I can work out scanning it, I may be able to bring it with me to my house to scan, then pop it up. They are very nervous of doing things online so its taking some doing!

[joneseyblod]

If we can just see the envelope initially. Remove all personal details and just keep therest of the envelope front and back visible. At least then we will know if it was indeed sent business class.

 

If your a good typer you could always type out the default notice contents and put in the formatting they have used etc.

 

Might put them a bit more at ease?

[thekat1979]

I've managed to get her to say I can scan the default notice and envelope in. I'll be scanning it this afternoon, but its her birthday party tonight - her fiftieth - so I wont be able to get it up until tomorrow probably, but as soon as I possibly can I will.

[joneseyblod]

Ok will await those

[thekat1979]

UPDATE

 

Looks to me that the Default Notice my parents were sent is sound.

 

Since the default date has gone past, LTSB have still been ringing them, demanding a payment from them. This is despite sending a letter to them telling them writing only.

 

They have finally got a reply to their writing only letter saying that from now on they will ONLY write to them. However, in the time it took them to process their letter, they continued to ring.

 

During one of these phone calls, they FINALLY managed to convince my mum and dad - even after I told them to just hang up - that they SHOULD pay £60.00 a month (they were making £5.00 a month payments which were bad enough for them. They said they didn't need to make a payment on that day, but that they would send them a 'credit agreement' for them to sign and return, along with a DD mandate for the £60.00 a month. They cannot afford this. They havent yet received the 'credit agreement' but I'm not sure what to advise them beyond DON'T SIGN IT. The thing that got them to agree to this? They were told that if they did, LTSB would stop applying interest, and then if they were to find £6,000.00 in six months time, they would write the WHOLE debt off (around 18k at present including the PPI).

 

Surely that cannot be right?! That sent alarm bells ringing in my head.

 

Why would they offer something like that? I'm assuming there is something dodgy about the agreement, but I've seen it and I can't SEE anything wrong with it, it all adds up, prescribed terms etc.

 

The only issue they have is that they both signed for PPI and were not told that ony one person would be covered. A few other PPI issues too.

 

But as for the not adding interest, they have already defaulted them so surely they have already stopped adding interest?

[thekat1979]

BUMP please for the post above this one?

[thekat1979]

My parents wrote to LTSB stating that they think they have been mis sold PPI on their loan (the details are on my other posts, but basically they needed to claim on it and were told they couldn't becuse the person who needed to claim wasn't the first signee, but there was no indication to them that this was important at the time they chose who to go first, as well as a few other reasons about things they weren't told like that it wasn't compulsary).

 

Anyway, the deadline according to my mum's timeline was up early last week, but LTSB had written to them stating that they would reply by the END of last week. She gave them those couple of days out of fairness.

 

She got a letter today saying they have not come to a decision about her complaint, and that she should go to the FOS if she isn't happy with this.

 

They are though still a) sending her letters asking for money for the now defaulted loan - and trying to get them to agree to repayment schedules they cannot afford by telling them that if they do they will freeze interest - I was under the imporession that interest was frozen as soon as it was defaulted?

 

They have now changed banks, but still have an overdraft with LTSB. Whenever they put some money in to the LTSB account to try and pay off the overdraft, LTSB are just taking the payments they want for the loan - which has defaulted - out of the overdraft. It is 'only' the smaller amounts they are asking for, but is putting them further and further into the overdraft and they have told them several times that they did not agree to this but they keep doing it every month.

 

All their day to day banking is now moved over to their new bank, Barclays, so there is no issue with day to day funds, but LTSB are getting very funny with them if they don't put something into their account to help pay off the overdraft, but then just take it as payments for the loan!

 

Sorry, that's probably a side issue in way, but very much related.

 

So, where do they go from here?

 

LTSB have not denied OR upheld their complaint that they were mis-sold, so is there a letter I should get them to send now to get them to move theirselves in sorting this out?

 

Any help gratefully received.

 

Thanks,

 

x

[alanalana]

My parents wrote to LTSB stating that they think they have been mis sold PPI on their loan (the details are on my other posts, but basically they needed to claim on it and were told they couldn't becuse the person who needed to claim wasn't the first signee, (LTSB are one of the more difficult banks to deal with they still make life awkward for anyone trying to reclaim even though the game is up on PPI. They will always find an excuse not to pay out on expensive but useless PPI insurance) but there was no indication to them that this was important at the time they chose who to go first, as well as a few other reasons about things they weren't told like that it wasn't compulsary). ( That makes two cases for mis-selling)

 

Anyway, the deadline according to my mum's timeline was up early last week, but LTSB had written to them stating that they would reply by the END of last week. She gave them those couple of days out of fairness. ( No more fairness they banks are not fair so keep to your timescales and make them tight)

 

She got a letter today saying they have not come to a decision about her complaint, and that she should go to the FOS if she isn't happy with this. (IMO this is the way to go but firstly have you got all of the paperwork on the Loan? If not you will need to send a Subject Access Request with the Statutory fee of £10.00)

 

Template letters here....

 

Full SAR for ppi

 

and also here...

 

Data Protection Act 1998 - Subject Access Request

 

You should request the following documents:

 

A true copy of your Consumer Credit Agreement with the Terms and Conditions that were applicable at the time you took the loan.

 

Copies of all statements applicable to the loan.

 

Copies of all correspondence that apply to you as a data subject ie letters, emails, faxes etc.

 

Copies of all recorded telephone calls or transcripts of the recordings.

 

A copy of the needs and wants/ customer duty of care questionnaire... here is an example.

 

http://wwwa.mbna.co.uk/insurance/files/CP0608_INSU_MB_LP_S.pdf

 

Copies of any notes made by Link staff in their dealings with you.

They are though still a) sending her letters asking for money for the now defaulted loan - and trying to get them to agree to repayment schedules they cannot afford by telling them that if they do they will freeze interest - I was under the imporession that interest was frozen as soon as it was defaulted?

 

They have now changed banks, but still have an overdraft with LTSB. Whenever they put some money in to the LTSB account to try and pay off the overdraft, LTSB are just taking the payments they want for the loan - which has defaulted - out of the overdraft. It is 'only' the smaller amounts they are asking for, but is putting them further and further into the overdraft and they have told them several times that they did not agree to this but they keep doing it every month.

 

All their day to day banking is now moved over to their new bank, Barclays, so there is no issue with day to day funds, but LTSB are getting very funny with them if they don't put something into their account to help pay off the overdraft, but then just take it as payments for the loan!

 

Sorry, that's probably a side issue in way, but very much related.

 

So, where do they go from here?

 

LTSB have not denied OR upheld their complaint that they were mis-sold, so is there a letter I should get them to send now to get them to move theirselves in sorting this out?

 

Any help gratefully received.

1. submit Subject Access Request to LTSB asking for all data. (please see this)

For legal issues relating to Data Protection check this link...Lots of very useful info in understandable terms.

Data Protection | OUT-LAW.COM

 

it includes the following and much much more

Negotiating with the Data Subject (This should be important to Banks)

 

At this stage, it is advisable to negotiate with the data subject. The location information the data subject will have already given will give a clue as to what it is the data subject really wants to have information about. The benefit of the Data Protection Act 1998 is that it allows data controllers to negotiate with data subjects to get the data subject to specify the exact information he or she wishes to receive.

 

The data controller is entitled to ask for a fee of £10 and two further pieces of information. Firstly, the data controller must satisfy himself that the person making the request is, in fact, the data subject. The use of a subject access request form is advised, since the greatest breach of a data controller's security is for the data controller to satisfy a subject access request made by a person impersonating the data subject. The use of the form goes towards proving that the data controller has adequate identification and verification procedures in place. Secondly, the data controller is entitled to ask the data subject for further information to enable the data controller to locate the information which that person seeks.

 

When the last of these three pieces of information has been obtained, the forty day period starts to run. It is advisable to put procedures in place to ensure that the receipt of the request and the further information is correctly dated so that an organisation knows how long it has to satisfy the subject access request.

 

However, if the data subject is adamant that he or she wishes to receive a copy of everything the data controller holds on him or her, then there is very little the data controller can do about this, and a completely exhaustive search of the computerised and manually held data in the organisation will be required. (nice to know what you see in the Act is what you get)

Firstly send a Subject Access Request to Link they now obviously own the account having bought it from GE Money and Debenhams.

 

Data Protection Act 1998 - Subject Access Request

 

and another one here...

 

Full SAR for ppi

 

You should request the following documents:

 

A true copy of your Consumer Credit Agreement with the Terms and Conditions that were applicable at the time you took the loan.

 

Copies of all statements applicable to the loan.

 

Copies of all correspondence that apply to you as a data subject ie letters, emails, faxes etc.

 

Copies of all recorded telephone calls or transcripts of the recordings.

 

A copy of the needs and wants/ customer duty of care questionnaire... here is an example.

 

http://wwwa.mbna.co.uk/insurance/files/CP0608_INSU_MB_LP_S.pdf

 

Copies of any notes made by Link staff in their dealings with you.

 

You should also consider complaints to the ICO, FSA, BBA and OFT this just costs a stamp and a letter but keeps them on their toes on the PPI issues..

 

Here is the letter I sent which got results.

 

Submission of a Very Serious Formal Complaint against the Royal Bank of Scotland

 

Despite several further requests for the information as required by my S.A.R - (Subject Access Request), none has been forthcoming.

 

Letters have been sent on:

24 January 2008

16 February 2008

12 March 2008

28 March 2008

2 April 2008

12 April 2008

12 April 2008 Request for CCA under provision of Consumer Credit Act 1974

19 April 2008

 

I have still not received Consumer Credit Agreements with associated paperwork on four of the loans. Because of the inordinate delays, the information requested on the first loan which was refinanced in March 2002 would be of no use as any claim against that loan would now be statute barred within the Scottish Courts.

I have not received data in the name of recordings of telephone conversations or transcripts of those conversations between the RBS and myself.

I have not received copies of emails or letters which I know exist.

I have also not received any properly certified documentation by Data Controllers within the RBS stating the information that I have requested has been disposed of, destroyed or erased.

 

The Royal Bank of Scotland is a member of the British Bankers Association (BBA), is licensed by the Financial Services Authority and should I believe, operate within the Law of the Land and therefore respond within the statutory timescales within Legal Acts at Law, namely the Data Protection Act 1998.

 

I have, when asked, provided information to the RBS, but it seems to me now, that they will try and delay supplying the data requested by using whatever delaying tactics they see fit. On one occasion referring me back to DLFS for the information I had requested. The fact that the DLFS had been legally transferred back to the RBS on 1 March 2006 (the transfer included all DLFS loans) was obviously overlooked by the Data Protection staff within the RBS.

This is indeed an extremely sorry state of affairs and it beggars belief that RBS staff would not be aware this Legal transfer had taken place.

 

My understanding is that the RBS had 40 days to fully supply all the information requested in my Subject Access Request, this has most certainly not happened.

 

I would therefore like to request that each addressee takes the appropriate measures to instruct or at least direct the RBS to supply this information to me as a matter of urgency.

 

I have a complaint lodged with the Information Commissioners Office Case Reference xxxxxx

I would now urge the Commissioner to consider an Enforcement notice against the RBS under Section 40 of the Data Protection Act.

I would also request that the Financial Services Authority, the Financial Ombudsman Service, the Office of Fair Trading and the British Bankers Association add this extremely serious complaint to their files on the Royal Bank of Scotland.

 

 

 

Yours sincerely

 

 

 

A xxxxxxxxxxx

Distribution:

 

The Financial Services Authority, 25 The North Colonnade, Canary Wharf, London, E14 5HS.

 

The Financial Ombudsman Service, South Quay Plaza, 183 Marsh Wall, London,

E14 9SR.

 

The Commissioner, Information Commissioners Office, Wyckuffe House, Water Lane, Wilmslow, Cheshire, SK9 5AF.

 

The Information Commissioners Office, Casework and Advice Division, Wycliffe House, Water Lane, Wilmslow, Cheshire, SK9 5AF.

 

The Office of Fair Trading, OFT Enquiries, Fleetbank House, 2-6 Salisbury Square, London, EC4Y 8JX.

 

Chief Executive, British Bankers Association, Pinners Hall, 105-108 Old Broad Street, London, EC2N 1EX.

It is a long post but may give you ideas the main aim of the game is to not let the banks control the situation.

 

Hope this is of use

 

aa

 

Sorry about the duplication within the post but the message is there

Edited June 5, 2009 by alanalana
duplication

[thekat1979]

Thanks for that - they did send off for a full SAR and they got a photocopy of the loan agreement, and statements, but that is all.

 

Sorry for taking ages to reply - I didn't get a notification that there was a reply

 

Re: Complaining to the FOS - is there a template for this, or do you just write to them with everything we have and a covering letter stating that we believe the PPI has been mis-sold, giving the reasons for this in the covering letter and asking them to either get the abnk to get a move on in their decison or to make a decision for them?

 

Thanks,

 

x

[alanalana]

Thanks for that - they did send off for a full SAR and they got a photocopy of the loan agreement, and statements, but that is all.

 

Sorry for taking ages to reply - I didn't get a notification that there was a reply

 

Re: Complaining to the FOS - is there a template for this, or do you just write to them with everything we have and a covering letter stating that we believe the PPI has been mis-sold, giving the reasons for this in the covering letter and asking them to either get the abnk to get a move on in their decison or to make a decision for them?

 

Thanks,

 

x

 

Everything you need to contact the FOS and complain is in here.

 

Links that may help with your claim for Mis-sold PPI

Financial Ombudsman Service

 

http://www.financial-ombudsman.org.u...-insurance.pdf

 

They are helpful they will require you to complete a complaints form and it is important that you send copies of all your correspondence both sent and received. I would further advise you keep at least one additonal copy of everything (things can go missing in the post or elsewhere).

 

You can start with a phone call and take it from there. The big issue is time but once you have complained to the FOS it could put a damper on them still pestering you for payments.

 

aa

[thekat1979]

Hi all,

 

My parents have a claim in for mis-selling of PPi. So far, Lloyds have done nothing, and its now be referred to Financial Ombudsman.

 

The reason i need advice is that Lloyds are hassling my mum and dad for money at a rate they cannot afford. I was under the impression that because the amount that was owed was in dispute, then they couldn't collect on the debt. However, they are taking money directly from their current account with them - they now mainly bank with Barclays due to all this but their working tax credit still goes into the LTSB account. They are paying money in to the account every month as well to cover the overdraft they have on there, but whatever they pay in to try and clear the OD, LTSB are just taking away straight away, taking them up to the max of their OD. They keep saying that my mum agreed they can do this. What happened was over the phone they told her she HAD to do this, she never signed anything, and all she said was that she would see what she could sort out, not agreed to it. Furthermore, she has written to them telling them no phone calls, and they have written to her subsequently and said OK no phone calls, letters only. However, yesterday they sent her text messages to both her mobile nunbers - one of which they have never been given - saying that it was LTSB and that she should ring them immediately. As it didn't say what it was concerning, my mum rang them - in case it was something to do with the current account in general, or that they had sorted things out. They then proceeded to have a go at her about 'not keeping' to the agreement they have set up. I'm guessing their argument would be that she rang them, but only because of the text message which didn't say who from LTSB it was, and banks do sometimes need to talk to you over the phone.

 

She is unwilling to not pay anything into the ltsb account because of the OD, which she really wants to pay off, but all she is achieving at the moment is for anything she pays in to be used for their amounts they are taking - as I said, they just take everything out of it up to her OD.

 

Surely as it is in dispute, they shouldn't be taking anything? Can anyone help with a letter that can be sent 1, about the text messages and harrassment, and 2, about taking money on a debt that is in dispute and so they have no right to collect on. Would she be able to get back what they have taken in the past 2-3 months while it has been in dispute?

 

Hope someone can help.

 

thekat

[sleepz]

Howdy Kat.

Im not really up on this type of thing, and I don't wanna state the obvious as im sure there are other factors involved, but can't you just ask your mum to get the tax credits paid into the Barclays account?

Once there's no money going into the account, you should be able to close the account and set up a payment plan to repay the overdraft ... that way they can't take money from the account, and instead of paying money into the account which just dissapears she will be actually clearing off the overdraft.

 

Also, if you mum can't afford to pay what they are asking for, you should get her to fill in an expenditure form (which basically details everything that's coming in and everything that's going out), and clearly state how much she is willing and able to pay. Send this off recorded delivery and get it signed for at their end. They should agree. If they don't agree, which I doubt, just make whatever payments she can as detailed in the Expenditure form. The only thing they can do from there is take it to court, but if you can prove you've sent the expenditure form (signed delivery), and you continue making the payments the court will look favorably on that and see that it's the bank that is being unreasonable, not your mother.

 

That's the advice I would offer her, but please be aware that I don't know too much about this scenario, and im by no means an expert, so take anything I say with a pinch of salt, especially when I talk about courts and legal issues.

[RedVixen]

Hi KAT - the problem with Lloyds like many banks is they aften won't act for hardship cases until the account has been in default for at least three months so I would get the WTC paid into the Barclays account let the overdraft go to pot, THEN negotiate a payment plan. I think part of the problem is (and I was like it once) we all panic about our finances going pear shaped but I certainly found that once it did it was not nearly as scary as I thought

 

There is a template letter for no phones calls which of course I can't find at the moment - but you can adapt it to say no texts and make it clear that you will not talk to them on the phone.

 

Report them to the OFT and trading standards about harassing you over an account that is in dispute and then tell them afterwards

 

You won't get anything back that has already been paid unless the PPI claim is bigger than the debt - they are leaving me alone for the moment for exactly that reason - i would also give the FOS a call and see if one of their advisors thinks they can do anything about the harqssment - they may not but if you don't call you never know

[thekat1979]

My mum and dad got a letter from LTSB yesterday saying that they were upholding their complaint and as such would

- organise repayment of the ppi of their previous payments towards the debt

- cancelling the ppi

- taking the amount of the ppi (around £4900) off the outstanding amount.

- any interest accrued as a result of the ppi is being taken off too.

 

They have asked them to sign a form saying that they wish to cancel the ppi, and that they agree to LTSB terms - as above.

 

Are they OK to just send that off?

 

The debt is now in default as they couldn't keep up payments, so how does this affect what is happening with that? They are being harassed by LTSB for the amount they owe, even though they simply cannot afford a thing towards it. Should we sort out the cancelling of the ppi so we have a better idea of the amount they now owe - it was a 15,000 loan that wasn't secured on anything.

 

We need to get LTSB to take a small token payment for the time being, or even write-off the debt...when they took out the loan, my mum had just started working but was fired due to having to take sick leave after a car accident. They could afford the loan when she was working, but after she was fired was when they got into trouble and now cannot afford to pay back.