Halifax PPI and Package Account Fees reclaiming for dad **WON BOTH**

[Mike_hawk]

I'd have to check but I think [without going down the court route] the business is only obliged to settle the premiums + contractual interest applied during the term + 8% from settlement date

 

On premiums [incl term interest] of £1162.36 at 2109 days it comes in at just shy of £1700.00

 

The effect of rollover also appears to have been duplicated within your spreadsheet, the calculation should only include the effect of any remaining premium refinanced less any contractual rebate at draw down of second loan/settlement of first...... I'm assuming only a proportion of the insurance premium rolled over

 

For example; if the first loan had a premium of £500.00 incl term frontloaded interest over 50 months and you paid £10.00 per month over 20 months, the remaining premium over the term would be £300.00. If you decided to roll this up into a 2nd loan at month 21 and prior to its natural end date you may have received an early settlement rebate of say £200.00 , leaving £100.00 rolled over to the 2nd loan or 10% of your original premiums incl interest for the new loan term. The calculation then becomes a little convoluted as the £100.00 would include the initial loan interest + the addition of 2nd loan contractual interest.

 

Might be worth you asking ims or dx to take a look at your calculations and see if they can spot anything obvious that may point toward the discrepancy between your figures and the business

[dx100uk]

we already did

there appears to be no PPI rebate of loan 1 before its refinance by loan 2.

 

 

the calcs are all here to see already mike

 

 

regards

dx

[Mike_hawk]

Cheers dx

 

To be honest, I'm struggling with the latest spreadsheet.

 

 

My understanding of Fos calc methods would be to draw a line under the first loan

and roll any outstanding premium balance [rebated or otherwise] into the 2nd loan and add the effect of the 2nd term interest.

 

 

In that respect the spreddy doesn't make sense as the premiums continue at a fairly consistent rate throughout the 2 loans.

 

 

The only logical way that could occur is if the premium ran separate from the loan which it was attached to....

........ hope that makes sense,

 

 

have a look at the spreadsheet and see if you can understand where I'm coming from.

 

 

I'm not saying the calcs are fundamentally wrong, just possibly slightly acock in respect of this claim

 

It appears to be calculating at circa 90% of the 1st loan premium rolled into the 2nd loan from month 24 onward

[dx100uk]

post 124 explains

 

 

dx

[Mike_hawk]

Aha.......... that simplifies things

 

Then I think I'd have to agree with you, it would certainly be sensible to request a breakdown of the other sides calcs, the Fos is still a possibility to recover more than the initial offer

[Ftgab19]

Thanks for clearing that up Mike,

 

So should I just use the letter I was going to use? or just ask for a breakdown?

 

Letter:

 

Dear (Guy who signed the letter)

 

We are in receipt of your letter dated 23/02/2015 concerning are PPI loan claims. After assessing your outcome, we believe you have overlooked a few key areas in are claim.

 

We agree that we are clearly entitled to redress, but we reject your calculation formula, as there is no evidence that a policy would either have been required or purchased no matter the cost.

 

We request you to state your reasons and/or evidence your decision relies upon. We also accept your payment paid to our bank account as a partial settlement.

 

Yours Sincerely

 

Thanks

Andrew

[dx100uk]

spelling and grammar is very poor.

 

 

dx

[Ftgab19]

Sorry I'm struggling to get across what I want to say. How would you improve it dx?

 

Thanks

Andrew

[dx100uk]

post 169

 

 

dx

[Ftgab19]

Thanks xd, I'll get that printed off and sent today.

 

Andrew

[Ftgab19]

Hi all again,

 

Got a letter today from Halifax. I'll upload it for everyone to see but it's just saying we don't think we got it wrong and go to the FOS. There brakedown is confusing to say the least, but tells me they took tax of it!

 

Surly it would be up to my mum & dad if they will pay tax on such a small amount, not the bank.

 

Would like to know if I should go to the FOS or just put this case to bed.

 

Thanks

Andrew

[Mike_hawk]

Has it already refunded based on its calculations? If it has you've nothing to lose by filing the matter with the FOS, you could keep pursuing directly with the bank but to be frank it won't want to redress any more than it can get away with so you could end up flogging that dead horse for months.

[Ftgab19]

Hi Mike,

 

Yes they refunded the money not long after they sent the letter. I'll use the FOS, not going to invite letter tennis for the next few months.

 

I've filled out most of the complaint form, how would I describe the problem in the about your complaint section? And do I just refer to what I asked for in the letter for how I want things put right?

 

Thanks

Andrew

[Mike_hawk]

You only really need to say that you don't agree with the formulae it used to calculate redress as you believe it fails to address the effect of rolling over the originating loan balance. Try to keep it fairly straightforward, if you believe the redress was undervalued then yep, that's what you're asking to be put right.

[dx100uk]

opps think they might be right

 

 

this doc shows it was cancelled

 

 

on inception of loan 2

[Ftgab19]

Hi dx,

 

Should I just leave it or let the FOS double check and complain?

 

Thanks

Andrew

[Ftgab19]

Hi all again,

 

Thought I would make a new thread for this loan so not to confuse my other PPI thread for my dad.

 

I'll be using this for the covering letter:

 

Dear Sir/Madam,

 

We are writing in relation to payment protection insurance (PPI) policy, associated with the above account, which we do not believe was sold to us correctly or fairly.

 

We believe you have not treated us fairly for the following reasons:

 

· The overall cost, this being associated interest, was not explained, nor mentioned at all

 

· We were not told how to go about cancelling our policy

 

· We already had cover in place that could have protected our repayments but wasn’t asked about this

 

Unless you can provide proof that the policy was appropriate for our circumstances and that we were treated fairly when you sold us the insurance, we will expect a full refund of all premiums, the interest that we have incurred as a result of having the PPI cover and 8% simple interest until settled.

 

We have attached a PPI questionnaire for the loan, evidence of PPI policy and a PPI redress calculation that’s under the Financial Ombudsman Service rules.

 

Under the FCA guidelines, Halifax has 8 weeks to resolve our complaint. We trust that you will deal with our case within this period. If not, we will refer the matter to the Financial Services Ombudsman.

 

We look forward to your prompt response to this letter.

 

I haven't found the credit agreement yet but will be looking through my dads paperwork tomorrow.

 

Halifax didn't include anything for the 2009 loan in the SAR we sent them.

 

Should I request Halifax to send a copy or should I send a CCA request for it?

 

I've found a loan offer that said the loan was for £6,467 with a additional borrowing fee of £99 and a £50 deeds despatch fee

 

The monthly cost was £121.07

 

So I calculated 121.07/5715 x 100 =2.11%

 

So am I right in saying the monthly repayments is 2.11% of £121.07 which is £2.55?

 

Thanks

Andrew

[Mike_hawk]

Looking at the attachment dx posted it seems the redress is correct, or at least within a few quid of what should have been your expectation based on a separately running PPI premium. Entirely up to you if you want the ombudsman to check the figures, given that there is no requirement for you to comply with its findings if it comes up short of the offer already banked the only loss to you would be your time.

[dx100uk]

so the PPI was 121.07 PCM?

[Ftgab19]

Hi dx,

 

The loan cost £121.07 a month

[dx100uk]

well then that calc is wrong then!

 

 

its the PPI divided by the total cost of the loan is it not to get the PPIPCM% figure

[Ftgab19]

Sorry dx,

 

I found the cal's hard last time, so how do I work out the PPI then so I can workout the monthly figure

 

Thanks

Andrew

[dx100uk]

you have the correct calc

you've just used the wrong figure

 

 

as said above

and in link 1 below

 

 

total cost of PPI / total cost of loan * 100 = PPI%

[Ftgab19]

I'll leave it then, thanks for helping everybody.

 

Andrew

[Ftgab19]

How do I workout total cost of PPI?

 

All i've got at the min is the offer for the loan. I'll upload it so you can see.

 

Only thing I can think of that would be the total cost of PPI would be the £487 added on the the loan amount.

 

Thanks

Andrew