Won but "Investor Compensation" take 50% in fees

[mikeb1]

Hi

The above company did PPI claim for my wife and they took 50% of the claim for themselves,is there anyway to dispute this it was only £220 but they want exactly half .

 

Mike

[ims21]

If you signed up to their fee structure and terms & conditions then I think you will have to wear it.

 

One of the reasons why we don't advocate the use of CMCs

 

ims

[mikeb1]

If you signed up to their fee structure and terms & conditions then I think you will have to wear it.

 

One of the reasons why we don't advocate the use of CMCs

 

ims

Hi IMS thanks for your quick reply,but what are CMCs ? Mike

[ims21]

Hi

 

Claims Management Company

 

ims

[Michael Browne]

CMC = Claims Management Company

 

On their website their fees are quoted as 30% +VAT so on £220 the total fee should be £79.20

[mikeb1]

Thanks for this Michael we will phone them and quote this figure

 

Mike

[panther12]

It’ll probably be similar T&C’s that a CMC sent my parents-in-law (before I stepped in to halt them). That states the fee of 25% but in the small print it's dependent on the size of the reclaim. For e.g, reclaim £1000 they take £250 +vat but anything under 1k they take £250 +vat but say their fee will never be more than half of the amount recovered. So recover £300 they take £150 inc vat.

 

As stated previously I think you’ll have to suck this one but lucky that it was a low amount so not as bad as it could have been if it was a high value reclaim.

[dundeelaw]

This is maybe a bit late, but unfortunately, their calculations are correct. 30% of £220 = £66. 20% VAT of £220 = £44. £66+£44 = £110. They take 20% VAT on the £220 claimed and not the 30% of the claim.

[Michael Browne]

That doesn't seem right to me. you can only charge vat on goods or services, in this case the service in making your claim for which they charge £66. I would ask them for a VAT invoice and also make a complaint to the MoJ

 

And when you have their VAT no, complain to HM Revenue and Customs

 

And inform IC that you will be doing so.

[Michael Browne]

From their website (my bold):

Our PPI Service Charges

Investor Compensation (Claims) LLP will charge 30% of all compensation recovered

(plus VAT on the 30%), you may be subject to a minimum fee of £50.00 + VAT on

successful claims.

 

and this:

Below are some examples of how your refund could be made, and as a result how our fee is charged:-

Compensation £1,000, cash received £1,000, balance reduced £0, fee payable £360, leaving you with £640

[dx100uk]

for a member thats been here since 2006

and reclaimed several times themselves already

 

using a CMC is a bit stupid mike!

 

why did you not come here first.......

 

silly boy

 

dx