Confused!!

[bigdaddyc]

Hi eveyone.

I've always thought I was pretty good at maths but I'm giving myself a headache.

I have a ppi claim going.

 

I took out the loan in February 2007

Loan Amount £19994.10

PPI £5945.10

Total=[£25940]

 

Monthly Payment £348.50 (started 02-07-07)

I've made 56 opf 96 payments to date.

 

The total repayable is £33,456 so interest of £7,516 total

 

I know I should get the £5945.10 back but its the interest thats giving me a headache.

 

I know they allow 8% interest should be given so that would give me £5945.1 X 1.08% gives £6420.71

Is this all I'm entitled to or does part of the monthly payments also need to be returned.

I am using the CAG PPI calculator but don't know the Apr%, the Monthly int% or the annual int%.

 

I know I'm supposed to use the details form the Loan details calc in the interest refund amount sheet but I can't make head or tails of it!

[ims21]

Hi

 

Use the first spreadsheet here

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?330996-Latest-Spreadsheets-PPI-Claims-and-Charges-Claims-Dec-2011

 

Also have a read of No.1 in my signature...it tells you how to work out what you will get back.

 

You will get back the premiums and interest you have paid thus far plus 8% on those. The remainder of the loan will be restructured to remove the PPI element.

 

ims

[bigdaddyc]

Hi, just wanted to check a few things.

5945.10 as a percentage of .25940 is 22.92.

I multiply that by my monthl;y repayment (348.5) and get 79.87.

I inserted the payment dates and this amount and it autpmatically calculates the simple interest, spitting it out at the top.

Monthly Payment of PPI £4,552.51 8% Simple Interest £860.81 Total £5,413.32 That's the correct way of doing it yes?

 

The other bit is 8% on top of my PPI amount so

£5945.1 X 1.08% gives £6420.71

 

totalling out at £11,834.03

 

They should also subsequently remove that 79.87 from my repayments reducing it from 348.50 to 268.63

 

I'm just double checking my facts before printing these and keeping them together.

[ims21]

Hi, just wanted to check a few things.

5945.10 as a percentage of .25940 is 22.92.

I multiply that by my monthl;y repayment (348.5) and get 79.87.

I inserted the payment dates and this amount and it autpmatically calculates the simple interest, spitting it out at the top.

Monthly Payment of PPI £4,552.51 8% Simple Interest £860.81 Total £5,413.32 That's the correct way of doing it yes?

 

Yes...spot on...you will have a list of 56 or 57 payments of £79.87

 

The other bit is 8% on top of my PPI amount so

£5945.1 X 1.08% gives £6420.71

 

No...you only get the 8% on the payments you have actually made...i.e. as per the spreadsheet

 

totalling out at £11,834.03

 

They should also subsequently remove that 79.87 from my repayments reducing it from 348.50 to 268.63

 

Correct

 

I'm just double checking my facts before printing these and keeping them together.

 

ims

[bigdaddyc]

Right 8% on the payments I made, plus the return of the initial premium, right?

5,413.32 & 5945.10=11358.42

 

Another question if I may.

I completed the questionnaire from HSBC websire (its the obudsman one) and sent it to the bank with a letter outlining my reasons for being mis-sold.

1. Told no loan without

2 8 year loan, 5 year protection

3. No options given, nothing explained.

4. Sick pay covers absence for 6 months, same as loan protection!

 

I didn't include any calculations.

I have had a letter back - standard one.

Thank you for the letter, sorry you had to complain, if you haven't already done so fill in a questionnaire. We will update again in 4 weeks and aim to send full response in 8 weeks.

Those reasons are good enough?

[ims21]

Right 8% on the payments I made, plus the return of the initial premium, right?

5,413.32 & 5945.10=11358.42

 

Not quite...what you will get back to you is the amount shown on the spreadsheet. The remainder of the loan is restructured to remove the remaining PPI part of the loan

Another question if I may.

I completed the questionnaire from HSBC websire (its the obudsman one) and sent it to the bank with a letter outlining my reasons for being mis-sold.

1. Told no loan without

2 8 year loan, 5 year protection

3. No options given, nothing explained.

4. Sick pay covers absence for 6 months, same as loan protection!

 

I didn't include any calculations.

I have had a letter back - standard one.

Thank you for the letter, sorry you had to complain, if you haven't already done so fill in a questionnaire. We will update again in 4 weeks and aim to send full response in 8 weeks.

Those reasons are good enough?

 

Yep

 

ims

[bigdaddyc]

So I don't get any of the upfront payment back?

I didn't put that in the sheet or anything.

[ims21]

Hi

 

What you will end up getting back is the premium itself, plus the interest the bank have charged you thus far plus 8% on the payments you have actually made.

 

It will be made up of premiums and interest paid thus far plus the 8% and the remainder of the loan is restructured so that your as yet unpaid ppi doesn't get paid.

 

You actually didn't make an up front payment...the money to make that single premium payment was loaned to you over the lifetime of the loan.

 

ims

[bigdaddyc]

Thank you for all your help.

I have clicked the star and commented.

[bigdaddyc]

I received my offer today.

£5562. including interest of 8%. I'll have to tell the taxman about that!!!

However there is a loan balnce less PPI refund which they are taking 946.16 leaving me £4616.08.

Is that right?

[ims21]

Hi

 

How does the offer compare to your workings?

 

They can only set off against notified arrears.

 

Regards

 

ims

[bigdaddyc]

I believe my overdraft is the arrears and it works out about right (pennies)

Edited March 19, 2012 by bigdaddyc

[bigdaddyc]

I have been given two options. Pay the remainder off my loan, or let them do a credit check to restructure my loan and pay into my account. Can they take into account any of my other debts (disputed or not)?

[ims21]

Hi

 

Ok so they are planning to set off against an overdraft.

 

If the loan has been run correctly and there are no arrears then no set off is allowed. All they should do is restructure the remainder of the loan to remove the PPI payment part. You should not be signing any new agreement etc etc...it is a simple maths equation from their point of view.

 

ims

[bigdaddyc]

Ok. I agree with their assessment of arrears. What about any other (non HsBc) debts? Nothing to do with them ? No IVA's or bankruptcy just debts under dispute.

[ims21]

Hi

 

No they cannot set off against debts outside their own banking group

 

ims

[bigdaddyc]

Another load off. You must let me send you a tenner for a pint!