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Welcome Finance say ppi claim is statute barred


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thank you

1 question though are they not meant to add interest to the acceptance fee? and should these be claimed back seperately

ie

acceptance fee claim

insurances claim

ppi claim

or can i just put them all together

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Hi

 

There are no cases on CAG that I can find where MIF has been successfully claimed back....but I'm happy to be shown a successful case

 

ims

 

 

my notes from over time here:

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?304631-Welcome-Finance-PPI-and-Mr-Z&highlight=reclaim+MIF

http://www.consumeractiongroup.co.uk/forum/showthread.php?251405-Welcome-Secured-Loan-agreement

http://www.consumeractiongroup.co.uk/forum/showthread.php?304631-Welcome-Finance-PPI-and-Mr-Z&highlight=reclaim+MIF

 

As per the post above the MIF is not for insurance. Welcome have admited on more than a few occassions that it is not insurance....Never has been, never will be.

The real question is where does the money go? They will tell you its a fee in relation to being a higher risk, and that by charging this fee, and the interest it attracts, it helps to cover them in the event of a shortfall. They will also tell you that whilst many lenders do use the fee to purchase insurance, they never have.

This is not only stated in the Griffith v Welcome case, but I also have it in writing directly from them.

"The MIF is a fee that can be charged by lenders when the value of loans secured on a property is at a level similar to the value of the property. It is an additional form of protection for the lender in the event that they are required to repossess the property and are unable to recover all of the monies are outstanding under an agreement (i.e. there is a shortfall). In such circumstances, the lender is entitled to pursue the borrower for the shortfall. As can be seen by the terms and conditions of your agreement, you were charged a MIF, which meant that should the situation described above arise you would not be pursued for any shortfall. This was not an insurance policy although some lenders do take out insurance policies for this purpose. It was what could be described as a 'waiver fee'. It was decided in Griffiths -v- Welcome Financial Services (2006) EWHC 3769 (QB) that the charging of the fee by a lender but not actually taking out an insurance policy was entirely reasonable."

The MIF has not been tested in court as far as I know, I certainly will be testing it though, its a big part of my claim against them.

 

 

Last edited by MrZ; 16th August 2011 at 19:35.

I too am uncertain of the legalities regarding the MIF. I have seen and read the threads I can find about it. I started a separate thread, which is now merged with this one specifically asking about the MIF. This is what I have been able to gather so far pertaining to the MIF.

1. Its been said that it should only be applied to mortagages or secured loans of 25,000.00 or more. (I have not seen and regulation yet that states this)

2. Its been said that it should be 75% loan to value (I have not seen any regulation that states this)

3. mortgage Indeminty Fee is a fee to be used to purchase insurance. (This is not a regulation per se, but rather an industry norm. mortgage lenders will charge this fee and then use the fee to purchase insurance to protect against a shortfall)

4. In the case of Welcome, they are not using this fee to purchase insurance. (I have yet to see any explanation from Welcome as to why they charge the fee)

5. Welcome are treating this fee as a Charge for Credit and it attracts interest at the same daily rate or AIR.

So having gathered the above information from this forum and other resources, it is my intention to write Welcome regarding only the MIF. I will not include it as part of any other complaint or claim, as I want to ensure it doesnt get "muddled over" or lost amongst other issues. I dont want to give them room to wriggle out of an explanation. I am drafting the letter today and will definitely update this thread once I have a reply.

MIF is a fee the debtor pays incase there is a shortfall on the loan

this fee is an insurance policy/product

you paid for it so ask welcome for the insurance policy.

i can tell you now there will be none

it goes into welcomes own pot under WELCOME ELITE BROKERS

YOU NEED TO BE ASKING WELCOME WHO THIS MONEY WAS PAID TO AND DEMAND PROOF VIA ANPOLICY NUMBER AND DATE AND WHO THIS FEE WAS PAID TO

ILL LAY EVEN MONEY NORWICH UNION/AVIVA

 

 

dx

please don't hit Quote...just type we know what we said earlier..

DCA's view debtors as suckers, marks and mugs

NO DCA has ANY legal powers whatsoever on ANY debt no matter what it's Type

and they

are NOT and can NEVER  be BAILIFFS. even if a debt has been to court..

If everyone stopped blindly paying DCA's Tomorrow, their industry would collapse overnight... 

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its funny how it is ONLY welcome that charges MIF on secured loans under 25k.

 

dx

please don't hit Quote...just type we know what we said earlier..

DCA's view debtors as suckers, marks and mugs

NO DCA has ANY legal powers whatsoever on ANY debt no matter what it's Type

and they

are NOT and can NEVER  be BAILIFFS. even if a debt has been to court..

If everyone stopped blindly paying DCA's Tomorrow, their industry would collapse overnight... 

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yes 1000's

 

just have a browse of the welcome finance forun.

please don't hit Quote...just type we know what we said earlier..

DCA's view debtors as suckers, marks and mugs

NO DCA has ANY legal powers whatsoever on ANY debt no matter what it's Type

and they

are NOT and can NEVER  be BAILIFFS. even if a debt has been to court..

If everyone stopped blindly paying DCA's Tomorrow, their industry would collapse overnight... 

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HI DX

i have gone back to my spreadsheets and calculated a statutory comp claim and a contractual comp claim and wondered if you wouldnt mind checking them for me?

 

regards

pudsey2

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