First Plus Ppi Claim - Next Step?

[highflyer79]

Hi all,

 

I hope I am doing the right thing starting a new thread?

 

Firstly, I really apologise for the long post but am after some good advice.

 

Before I became more financially savvy I took out a secured loan with First Plus. Because of the cashback offer and without realising the implications of a single premium policy, I agreed to the PPI even though I didn’t really need or want it.

 

I have refinanced the loan and settled with First Plus, but am trying to reclaim the PPI. I am claiming mainly on the basis of the following:

 

 

• Very little attempt was made to ascertain if the insurance was fit for purpose, suitable for our needs or if indeed if we really needed it at all.

• It was not made clear by the sales advisor that this was a Single Premium Policy and although only lasting for five years, we would be paying for it and interest on it throughout the lifetime of the loan at the loan APR, and furthermore we would need to take out further insurance at the end of the five year term.

• Following the initial application phase we decided that we did not want the PPI and phoned to ask for a loan agreement to be sent without the PPI added. The sales advisor was very pushy in selling us the policy at this stage so we felt that we could not say no. We were told that this PPI product was specifically tailored for the First Plus loan and that it was unlikely that we would get such sufficient cover from a third party insurance provider; implying that we would be at a disadvantage if we sought cheaper PPI elsewhere.

Now the first letter I received back from them was a basic fob off letter, saying that they did not think there was a case and they could not find evidence of a call with the sales advisor discussing the last point. I re-wrote to them and they have found some further calls but can still not find the one in question. This is despite me asking for a full S.A.R - (Subject Access Request) and pointed out that they had not supplied all calls. The second letter has offered me some money but not the whole lot. My questions are:

 

1) Should I accept?

2) If not do I write to them again or go straight to FOS?

3) I did originally ask for the full premium (less the refund on settlement), interest and the statutory 8%, how do I work this out? I have entered all the figures hoping that someone might help me.

 

Original Cash Loan: £32,000

PPI Loan: £7836.80

Total: £39,836.80

180 months from February 2006 @ 10.4% variable APR (obviously this has gone up and up) – PAID 21 months.

Cancelled PPI Nov 2007: rebate of £1237.56 to loan (reduced payments by about £20) This was after initially asking to cancel it in March 2007.

 

Settled Nov 2007: £37341.24 inc £150 admin fee

Overpayment refund: £65

Now willing to offer rebate of £2531.94 on a pro-rata basis of 78% of the insurance premium, (22% being held back for the provision of claims and admin costs)

 

Hope you can help.

 

HF79

[alanfromderby]

Firstly, whether you accept the offer has to be your call.

 

Having said that, if they believed you had no claim they would not have made this offer.

 

Have you also calculated the interest you have paid on the PPI?

[highflyer79]

Thank you. I haven't calculated any of the interest yet. Do you have any tips for working out the 8% and the interest paid?

 

I think the fact that they can't find this call may work in my favour as they can't disprove that it did not occur, and have already admitted they have 'found' other calls, whereas they had previously told me I had received them all.

 

HF79

[Goldlady]

http://www.consumeractiongroup.co.uk/forum/ppi/115106-ppi-loan-issues.html

 

Have a look at this highflyer. There are a few of us after First Plus.

 

If you need help with the interest I have done a spreadsheet for my friend's claim.

[highflyer79]

Thanks Goldlady,

 

TBH I just feel so stupid that I could have been so blinkered into thinking they were doing me a favour and that the cash back offer was a win-win.

 

I am just glad to be rid of them after refinancing for a much much lower apr cutting the loan down by 5 years. They have caused me no end of trouble and the cheeky bug**rs even tried to chase me for arrears after settlement, and have changed my credit file to reflect a late payment. That however, is another issue.

 

I would really appreciate having a look at your spreadsheet if possible.

[Goldlady]

Hi again, it is actually simpler than working it out on a spreadsheet. As you should not have had the PPI in the first place then I have assumed that none of the payments you made have gone towards it (which is usually why you need to use a spreadsheet). On the basis that you had the PPI from 1 Feb 2006 to 1 Nov 2007 you have been charged 638 days interest on the initial figure of £7836.80 - if you base it all on 10.4 APR it makes the interest charged on it to 1 Nov £1424.62. Therefore you should be looking at reclaiming £9261.42 less the money they have already refunded. IMO

[Goldlady]

I have not added in the 8% but this would be a further grand or so.

[highflyer79]

Thanks Goldlady. Much appreciated.

[highflyer79]

 

Thank you thank you thank you!!!!

 

After my third letter First Plus have caved in and offered me my full premium plus interest.

 

Keep going, persistance pays off!

 

HF79 :D

[Goldlady]

Wow that is absolutely brilliant.:D:D

 

I am about to send the first one. Maybe I should just use your third one and cut out all the cr*p.

[Goldlady]

You have inspired me.

 

Here we are - fingers crossed

 

http://www.consumeractiongroup.co.uk/forum/payment-protection-insurance-ppi/128548-first-plus-ppi-reclaim.html

[highflyer79]

Go for it!

 

After my SAR and another request for them to look again and then my first two complaint letters, FP still claimed that they could not find the recordings of a call in which I was talked out of not taking the PPI. After the third they by some miracle 'found' it. So this point despite us claiming initially for a whole raft of reasons seems to have been the nail in the coffin.

 

Such a weight off our shoulders to be finally rid of them. That said I still have to fight them to amend my credit report which they have messed up on.

 

[Goldlady]

You have won the hardest part of the battle. Good luck with the credit report.