HSBC Loan - PPI Claim upheld but......

[Shaunbhoy1888]

My wife took out a loan with HSBC around 10 years ago.

 

This loan had a sizeable PPI fee attached to it.

 

My wife and I have been servicing a DMP for a number of years now,

during which time the outstanding debt was handed firstly to Metropolitan Collection Services and then subsequently to CL Finance.

 

She wrote to HSBC recently demanding that the unfair PPI be refunded,

and after a bit of correspondence they upheld her complaint and made an offer of payment.

 

The problem is that they have sent her a form to sign which essentially compels her to sign this figure over to Metropolitan to offset the outstanding debt.

 

It is our belief that this amount should only be passed to CL Finance as they have owned this debt for a number of years now.

 

I am also led to believe that Metropolitan are simply HSBC in a thinly disguised form.

 

It would appear that,

not content to mis-sell the policy in the first instance,

that even when caught out they still attempt to trouser the loot.

 

Hard to believe that a Major Bank could be so devious, ain't it?

 

Anyone had anything similar to contend with?

[ims21]

If HSBC no longer own the debt then they cannot use the right of set-off and the refund should come to you.

 

Yes you are correct that Metropolitan are HSBC in house collection arm.

 

Are you sure that the debt was sold to CL....have you had a notice of assignment to that effect?

 

Is this debt on the credit file and if so, which company's name is next to it?

[dx100uk]

who's your DMP with too

hope its not a fee paying one?

 

dx

[Shaunbhoy1888]

Thanks for the speedy response ims21. I have some paperwork/statements dating back to April 2011 from CL Finance in relation to this debt. I have had no contact of any sort from Metropolitan since around 2006, about a year after I first commenced my DMP with the CCCS (Step Change). Since the DMP's inception I have forwarded all and any relevant paperwork to the CCCS.

I shall be contacting them first thing Monday for their advice but wondered whether this was a standard ploy on the part of HSBC.

[ims21]

Ok so if CL own it then the refund should come to you.

 

It could well be that the PPI refund department of HSBC haven't picked up the fact that the account has been sold so they will need to be told and at the same time point out that you require the money to repaid to you direct.

[Shaunbhoy1888]

Thanks again. I am already formulating my response to their letter!! And greatly looking forward to posting it!!

Really glad I found this site, there is so much on here that is of value to anyone that has been fleeced by the banks!

Keep up the good work!

[rdm2006]

when you say offer is it the FULL amount?

[janis6670]

I have a similar issue going on. Via the FOS Hsbc agreed a refund but it was to be offset against outstanding amount. Debt was sold on years ago and I have the paperwork. It doesn't appear on my credit file either. I sent the letter off and they responded not to me but to the FOS. They are still trying to sort it out between them and I believe its going back to an adjudicator. I am confident I will eventually get my money but it looks like a delaying tactic by HSBC

[Shaunbhoy1888]

when you say offer is it the FULL amount?

 

To be honest, I have no paperwork for complete verification so I am just happy to be getting anything back as I had written the possibility of getting anything back until recently.

[rdm2006]

All i can say is that their favorite saying in these cases is: -

 

" We aim to put the consumer in a position that they would have been in had the bank not made this mistake/error"

therefore, you would have had the money in your pocket, to do with as you please, so that is the position they should return you to.