Paragon PPI & PENALTY Charges reclaims refused - help

[kipper09]

Hi

 

I had an unsecured loan with Paragon that I got into repayment problems with - it eventually ran from 1999 to 2009. I recently sent them a SAR in order to see exactly what I had paid and see whether I could reclaim any of it.

 

I sent them two seperate claim spreadsheets.

 

The first was a claim for PPI payments I had made.

They have sent me a final response saying that as the PPI was taken out pre-2005, the industry was not regulated so there is no claim to be made.

They have also said that as my loan was submitted to them by a broker (Personal Loan Centre Limited), they were not part to any conversations about insurance.

They have said they would usually refer me back to the broker, but they are no longer trading.

 

The second spreadsheet I sent them was a list of charges for telephone calls and letters that I asked them to pay back.

Their final response to this says that the charges were debited to my account in accordance with the fee tariff at the time and they cannot reverse those fees.

 

Do I have any additional options open to me now? Is it worth raising my payment fees claim with the fos and if so how do I go about this?

 

As ever, thanks in advance for your help

[ims21]

On the PPI front you might want to check and see if the FSCS will take on your claim as the broker has gone out of business.

 

Is your agreement regulated by the Consumer Credit Act 1974?

 

For the charges, fos will almost certainly not be interested and will side with the lender. You will need to take them to court to get those charges back. The basis of your claim will be that they are a penalty and not a true reflection of the actual costs incurred.

 

If you are gong for charges more than six years old you will need to rely on S32(1)© Limitations Act 1980 (payments made under a mistake).

[kipper09]

On the PPI front you might want to check and see if the FSCS will take on your claim as the broker has gone out of business.

 

Is your agreement regulated by the Consumer Credit Act 1974?

 

For the charges, fos will almost certainly not be interested and will side with the lender. You will need to take them to court to get those charges back. The basis of your claim will be that they are a penalty and not a true reflection of the actual costs incurred.

 

If you are gong for charges more than six years old you will need to rely on S32(1)© Limitations Act 1980 (payments made under a mistake).

 

Thanks for the information. I'll try the FSCS.

 

The agreement was regulated by the Consumer Credit Act 1974 - I will raise a claim against them for the charges then.

[ims21]

If your agreement is regulated and you wish to go the court route for the PPI then you could use S56 Consumer Credit Act which makes a lender responsible for the representations of his agent i.e. the broker.

 

In a court action, the onus of proof of mis-selling will be on you (civil burden on the balance of probability).