PPI is a scam

[Muggedoff]

Hi

 

Reclaimed PPI from Barclaycard never asked for it or knew of it, in a nutshell card balance was £1500 without PPI should have been £400, received a payout of £1100 on my £495 paid to PPI.

 

However this payout was for the interest of around £1100 that should never had accrued but for PPI. money I had to pay extra, so got this back all is well.

 

However my card balance stays at £1500 so they can snatch it all straight back and in effect I am duty bound to pay it all again at a high rate of interest.

 

With this redress principle are the Banks actually paying anything back at all. as if £1100 should never of been there why is it still.

 

If I had used the £1100 to pay off my card balance I would be paying what I have already paid for via my £495. so paying a debt that only was there due to PPI added without my knowledge.

 

This is a [problem] of epic proportions this refund lark.

[dx100uk]

Well no its not

If you have a £1500 debit bal

Then its only notional as you've not physically paid it have you!!

 

So likewise you've not actually paid £1100 PPI have you....!!

 

So your debit bal should be £495.

[Muggedoff]

How the Great PPI [problem] works

 

A is put on a PPI plan without his knowledge.

 

Over 5 years he pays £500 in premiums Interest on his credit card raises this to £1100.

 

A applies for a refund his card is £1100 more than it should be.

 

The firm pays him £1100 as they admit the error.

 

A can pay the £1100 to get his account right or Leave it at £1100 more on a high rate.

 

If A pays £1100 he is paying £600 more than if no PPI.

 

If he pays nothing his account is £1100 more.

 

The banks £600 interest is kept on the balance, despite it being caused by PPI it should never be there.

 

The bank say we have returned this, but if you pay £1100 to sort your account

 

The bank gets it straight back for something that should never have been there.

 

So they are not refunding the interest at all. You pay it again either straight away or over time at a higher rate.

 

Now if A paid £500 back that should reflect as £1100 on the credit card. it does not as the £600 bogus interest remains payable at a credit card rate.

 

Genius but now rumbled. FCA need to sort this out.

[Bazooka Boo]

Brilliant....

[Muggedoff]

How many folk have the credit card companies done this to, I am in talks with FCA to highlight this wheeze.

[dx100uk]

Nope

 

You get back the compounded int that the PPI caused too

 

It's puts you back to if the card had no PPI

 

It can't go to your pocket because most of the bal is only notional it did not exist..it was the PPI..

That's gone

Its called off setting.

[Muggedoff]

Erm no PPI interest is at 8% . However As described the balance of your card in unaffected by the refund. You do not have PPI interest removed at all. It does not put you back as you still have a higher balance then if no PPI in my case £1100 higher, read again, it is your choice on refund how you pay £1500 off, use the £1100 refund but in real terms your original £500 would of done that but now they want £1100 to pay it again. It is your debt and no 8% rate on a credit card it is a clever sting operation.

[dx100uk]

ERM yes

On a credit card you only get stat int for the months the card was in credit after PPI has been removed

 

You really need to go read the fos PPI information

 

Do you really think after all these gears of PPI refu D's no one else would have spotted this???

 

Played enough with you

 

Got better things to do

If you want CAG to che k your refund is correct

 

You'll need to post up your spreadsheet you did

All your statements

And the fos customer questionnaire you filled out when making the claim

[Muggedoff]

Thanks for the feedback, spreadsheets checked sorry nobody else noticed but it is clear that the card balance does not change following a refund.

 

 

it remains as before and as posted you can choose to give back your refund to be where you should be or pay it at a high interest rate over time.

 

 

your £500 original payment not going to your card has racked up £600 extra of interest on your card account.

 

 

That remains on your balance after any refund in any shape or form.

 

 

So your £600 refund is paid back one way or another, its in your name on your balance £600 extra debt due to PPI.

 

 

they do not remove it !.

 

 

Yes you have your £500 back too, however only £1100 will put you back to where you were before PPI kicked in.

[titpett01]

Can i ask did you get a refusal at first?

 

 

Ive tried to claim ours back as we didnt even know was on there,

but they have refused saying they sent us a letter on 2013 which we didnt receive (or id have cancelled it then) and they have now said its after 3 years are them writing to us???

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?476649-PPI-Complaint-with-Barclaycard&p=5016523#post5016523

[Bazooka Boo]

Can you start your own thread on this as no-one will read this.?