Bank paying out on business loans PPI - but a question regarding charges.?

[turnedworm]

I have been pursuing my old business account with LTSB.

 

 

I had a series of business loans and OD facilities.

 

 

As one loan paid off the previous one I have had an offer from the bank dating back to a loan I took out in about 1994

- the result is a large offer from them.

 

Great news indeed!!

 

Now along the way there were a significant number of charges for my going over my OD limit.

I would guess around £7-10k.

 

 

On the basis that they charged me for the PPI which they have now effectively said was wrong,

can / should I pursue these bank charges which are effectively as a consequence of them taking money for a mis-sold product?

 

Does anyone have experience of this?

 

I should get the offer letter from the bank so can check to see if they have taken this into account.

 

Many thanks.

[dx100uk]

they should be taking that scenario into account now on ALL PPI refunds

if the PPI was not there - would the charge have been lievied.

 

 

I hope you've sar'd them and got ALL the statements for these loans?

 

 

if not, and esp as they were refinanced several times

you could be in for a substantial windfall.

 

 

I would NOT be accepting any offer until you do some spreadsheets

link 1 below refers.

 

 

dx

[turnedworm]

I have all statements dating back to about 1998. Just glancing through them now.

 

Once I see the offer letter I shall fond out what they have based their figures on.

 

 

I think they have given a flat rate on some of the older loans as they no longer have the information.

 

 

I'm amazed they have back dated so far on the basis that the loans all ran into each other over that period of time.

[dx100uk]

Lloyds flat rate was £1200 if memory serves me

they could get off lightly here if you are not careful.

 

 

did you fwd the info you have?

[turnedworm]

For the older loans I think they are offering £2679 each (on the four) - not sure what they base this on. I'm looking out my old spreadsheets from this time to see what charges were applied.

[turnedworm]

Lloyds flat rate was £1200 if memory serves me

they could get off lightly here if you are not careful.

 

 

did you fwd the info you have?

 

 

Did send the figures as I didn't have the specifics to hand at the time.

[dx100uk]

well it might not be a bad idea to scan the statements and anything else you have that is relevant

and burn those to a cd

inc a covering letter regarding these and make ref to the PENALY charges that were levied too.

 

 

yes I would expect their 'std' redress figure to vary dependant upon the loan amount too.

 

 

dx

[turnedworm]

Many thanks DX.

 

I'm speaking to them today - they are to explain why their letter of 9th Jan didn't reach me. Neither did the last letter they sent in November!!!

 

They say the letter makes an offer of just short of £18k - this is across 8 products for my old business account.

 

 

They only have the records for the most recent 4.

 

 

I shall look out my spreadsheets for the whole period and see if the estimated figures look accurate or not!

 

I guess I need to add the principle PPI lumps, penalty charges levied and all interest charged on the two?

 

 

Then work out the interest that I could have received for the lump of money for the periods they fall into.

 

 

What rate of interest should I apply?

[dx100uk]

you'd have to consult your statements and threads here

 

 

link 1 gives you the scenario to follow.

 

 

don't forget the settlement lump sum from one to the other will tell the PPI carryover

you cant directly inc any interest sums paid

 

 

read the link

 

 

dx

[turnedworm]

Well I spoke to the bank this evening and the offer doesn't take penalty charges into account.

 

 

I have been told that would be a separate complaint - but would use the same ref number to connect the two.

 

Just scanning through statements the penalty charges alone are £12k plus.

That's only going back to 2001 at this stage.

 

 

There wouldn't be so many before this time as it was around 2005 that I struggled most.

 

 

I've not looked at the interest on this money.

 

 

The total charges for this period ('01-'09) were around £30 - that would also include legitimate charged items,

but by the time you take interest on MY money into account then I think I have a good case to argue.

 

I shall check the wording on the cheque they are sending for the PPI settlement to make sure it doesn't exclude me from further complaint.

 

What really upsets me in all this is that if I was that much money better off I'd still be in business.

 

 

I'm now doing my teacher training - best thing I've ever done though!

[dx100uk]

http://www.independent.co.uk/news/business/news/banks-may-have-cost-ppi-victims-an-extra-1bn-in-penalties-9488450.html

[turnedworm]

Very interesting article. Makes me angry about all the sleepless nights stressing about it all......

 

Should I photocopy all the statements and send with a letter of complaint stating that the amount due should fall between the penalty charges (c£12k plus interest) and the total bank charges I paid for the period (£30k + interest)?

[dx100uk]

not sure how you'd calc it nor them.

 

 

ideally one should use the fosrunning or the CIfos.

 

 

and post 7

 

 

I wouldn;t be expecting it to be between those figures ... you are guessing don't do that

calc it.

[turnedworm]

Well sorry for the delay in getting back.

 

I have had the cheques sent and these are now in my account.

 

 

Today I phoned the PPI dept about the penalty charges, associated interest etc etc.

I now have to lodge a complaint with the branch which I shall do tomorrow.

 

I have a list of all transactions on a spreadsheet.

There are about £7000 of penalty charges dating from about 1997 to 2010.

 

 

Also some charges for returned items.

 

 

I have about another 3 years of statements to look at - currently in the roof!

 

 

There is at least something to be said for keeping records longer than the required time!!

[turnedworm]

Following my visit to the local branch yesterday I had a call from their complaints department this afternoon. I discussed it with the chap and he now says I need to go back to the PPI department!

 

I have put all the charges and dates onto a spreadsheet dating back to 2001 ready to send them. Just another 6 years of business statements to go.