ppi on zero

[Ronlambeth]

Hi

can anyone help me on this issue,

 

my daughter has been refused a mortgage as her credit rating has been affected by a store card that she had cleared her balance

but was then charged ppi on her zero balance, is this legal???

 

many thanks

 

Ron

[citizenB]

Can you clarify your question, please ? my response is assumed on what you have said above.

 

PPI applied to revolving credit is calculated on the outstanding balance - so if there was a "zero" balance, there should have been no PPI charged.

 

If there was a PPI premium applied to the account, which was subsequently left as an unpaid balance and reported as a default then you should be able to have the markers removed.

 

Was the PPI required / requested ? If not, then you might want to have a stab a reclaiming it.

[Ronlambeth]

Hi CitizenB, many thanks for the fast response and the information.

 

my daughter is certain that the balance was zero,

 

the ppi was not requested but she has been with a ppi recovery company (XXXX) but they could not recover any ppi she had paid on this account

as the card in question was taken out before 2005 (Ombudsmans decision)

[BRIGADIER2JCS]

What are the credit reference files actually showing please?

[ims21]

Hi Ron

 

Which card is this?

 

Are all of the statements available?

 

There are indeed cases where fos cannot investigate prior to 2005 since the sellers if these insurances were not covered before that time.

 

However, if we know the card provider then we can establish who the underwriter is and you can (usually) go after them via fos.

[ims21]

Oh and by the way, get a letter off to the reclaim company telling them that as they have failed to get anything for you that your formally terminating any contract you had with them forthwith.

 

If you don't you can bet your bottom dollar that if and when you are successful they will be after you for their fee.

[dx100uk]

what is that default date om her cra file?

 

somethings not right here.

if a bal is £0

then theres nothing to levy PPI on?

 

unless there is a fixed rate PPI PCM?

 

not heard of a store card like that.

 

you sure it p'haps was not say CPP

credit protection Policy?

 

with an external company

[dx100uk]

http://www.consumeractiongroup.co.uk/forum/forumdisplay.php?356-CPP-Group-Plc

[Ronlambeth]

Many thanks for all your replies. the store card was from Adams the now defunct childrens clothing company and the company that we are in dispute over this is Creation Finance, the alleged debt is for approx £350 ; the the credit rating site was Experian and the default date was 03/05/2012 sorry info a bit sketchy but this all blew up in last few days

Regards

Ron

[ims21]

Do you have any statements or other paperwork for this account?

 

Anything that might give the name of the underwriter?

 

Also, as dx says, it may have been that this was Card Protection?

[Ronlambeth]

we don't have statements at the moment, I have requested them, copies of all letters etc and also copies of recordings of all phone conversations

[dx100uk]

def CPP

 

see http://www.consumeractiongroup.co.uk/forum/showthread.php?335009-Storecard-PPI-Creation-Finance&highlight=Creation+Finance+CPP

 

dx