PPI on a personal loan - ADVICE NEEDED PLEASE!!!

[gilliant]

Hi guys, I'm really hoping for some advice here. My husband (before we were married) took out a £15k loan from Natwest in 2007. At the time he was running his own business (a limited company). He was flagrantly missold PPI, as he was convinced it was a service charge that he paid every month in case he ran into financial difficulty, and he assumed that he'd just have it removed when he got a regular salaried job. HE NEVER REALISED that it was a lump sum (+ interest!) that was added to his loan amount. Recently we've come into some money and thought about paying it off in full so we checked out the loan agreement and realised what the heck this PPI actually was! So I've been reading your posts and he contacted the

PPI Customer Concerns Team, Regulatory Risk, 5th Floor, 1 Hardman Boulevard, Manchester M3 3AQ.. phone is 0161 755 6890 by phone. They took all the info and told him that he'd hear from them within 8 weeks but that the best he could hope for was a reset of the loan without the PPI but no compensation!

Advice on what we could do next?

Thanks

[gilliant]

And sorry - 1 more thing - should we follow up the phone call from today with anything written? Thanks

Edited February 18, 2010 by gilliant

[BankFodder]

it is extremely unhelpful when you make more than one post on the same problem in different forums. It duplicates the work of the site team. People will be unable to keep up with what is happening when you start receiving different replies on different threads.

 

Please don't do it

[BankFodder]

do I understand that even at the time that he was sold the PPI, that he didn't have an insurable interest? In other words, the PPI which he bought at the time was not suitable to his particular circumstances.

 

When you spoke to them on the telephone, did you record the call?

[gilliant]

Hi,

 

He and his business partner had set up a consulting firm as a limited company - so effectively he was self employed as his employer (himself) had no redundency scheme etc, so yes that is how i understand it.

 

when he (husband) spoke to them this morning to initiate a complaint he did not record the call. should he have? i had to force him to make the call as he's so embarassed to have been ripped off!

Thanks

[BankFodder]

In that case the money has been paid under a mistake and is entirely recoverable.

Additionally you should be able to claim at least 8% interest pa calculated daily since the beginning of the PPI contributions.

 

Why are you making phone calls without recording them?

Even the statement made that "..at best ... no compensation " is itself misleading ind unfair. If you had that recorded this itself would give you good leverage to get your money quickly and with less fuss.

 

People who say that they are going to record their calls in the future are like people who only join the AA after they have broken down on the motorway.

Record your calls.

 

You have to decide how you want to get your money back.

 

Slowly - you can complain to the FOS, wait a year or more and then get it all back. Very likely that the FOS will find in your favour.

 

Quickly, threaten a court claim and then issue the claim for the refund plus interest. You can reckon that they will cave in and that you will have your money back plus interest plus costs in less than 6 weeks.

 

Maybe your best bet is a compromise.

 

Get their email address and write to them formally saying that you want your PPI payments back plus interest which you will accept at 8%.

 

They will probably refund you and tell you that they won't give you the interest because it is not their policy.

 

Accept the repayments. Pay in the cheque and than go for the interest.

Do not sign any full and final settlement agreements.

 

I rate your chances of getting your payments as 100%

I rate your chances of getting the interest at better than 90%

 

Do not go to the FOS under any circumstances. A complete waste of time in your circumstances.

 

If you get a call recorder, a Truecall, for instance, try calling them and see what you can get them to say to you on the record - for future use.

You do not need to warn them that they are being recorded.

[gilliant]

thanks. we're going to mail a letter monday saying that. i appreciate the help and will let you know how we get on.