Firstplus PPI term reduction interst rebate??

[Blomb]

Hi all,

 

I have a question relating to Firstplus!!!

 

Brief summary

Claim for missold PPI upheld by the FOS.

 

The initial loan request was for over a term of 15 years - however due to the missold PPI being added Firstplus said they had to extend the term to 25 years as expenditure vs income would not cover loan over 15 yrs etc... Anyway as part of my complaint to refund missold PPI I asked Firstplus to revert the term also back to the initial 15 year term - this they did!

 

My question is this - surely where I was paying interest on a term of 25yrs, the interest should now be addressed to fit with the 15 yr term? Will this mean that Firstplus need to adjust/payback overloaded interest?

 

Any help would be most appreciated

 

Thank you

Blomb!

[dj1971]

Hi Blomb,

 

Welcome to the forums.

 

Did you sign a new credit agreement when Firstplus extended the loan term?

 

DJ

[Blomb]

Hi DJ1971,

 

Thanks for responding... no we didn't sign a new credit agreement. This is a term reduction on the existing loan. Hope that helps?

 

Thanks

[dj1971]

Blomb,

 

I suspect Firstplus were wrong in extending the term of the loan without you signing a new credit agreement and as such I cannot see how they would be able to uphold this in court, should the need have ever arise.

 

I suggest you post a question on this in the legal forum.

 

In relation to your PPI reclaim, do you have a copy of the original credit agreement? If so, please post so we can have a look at it. But remove all personal information from the agreement before posting.

 

Also, how did Firstplus communicate their wish to increase the loan term? and did they give you a breakdown of the repayments, charges etc after the increase in term?

 

DJ

[Blomb]

Hi Dj1971,

 

I think my question might have been a little unclear?

The loan has always been over a term of 25 years (as at conception they said we could not have it over 15 due to income vs expenditure. This was because the PPI was going to be added and the cost of the loan went up considerably).

 

So when I addressed the misselling of the PPI, I also advised that due to the PPI being added at the time of conception the term was set at 25yrs (when our request was for it to be over 15yrs (evidence of this was in out telephone conversations (received as part of a SAR request). This complaint was upheld - Therefore Firstplus have now had to reduced the term by 10 years (just as we initially requested at the time of taking out the loan).

 

So was wondering if we were due any top loaded interest back?

 

Blomb

[dj1971]

Blomb,

 

Now it is much clearer thanks.

 

Unfortunately the answer to your question though is I don't know.

 

Perhaps others can offer some suggestions on this one?

 

DJ