PPI, compound interest and simple interest.

[Bangorlad]

Hi,

I am a bit confused.

 

I have been made an offer on my ppi which comes to £2,044.

 

I think that this is far too low.

 

I've just worked it out and my calculation comes to £3659.02.

 

I did this based on what I have read on another thread.

 

consumeractiongroup.co.uk/forum/showthread.php?304901-How-to-calculate-the-interest-on-PPI-claim

 

My loan is still open.

 

I took it out in April 2009.

 

The premiums come to £460.

 

I have calculated the compound interest at 11.425% on each monthly premium from the time the premium was applied to the the time of the claim.

 

I have then added this to the premium.

 

I have then calculated the simple interest against this at 8% and added all three together i.e. original premium + compound interest + simple interest.

 

This has come to the final amount of £3659.02.

 

Is this right?

 

Many thanks,

Adrian

[ims21]

Hi

 

Your method of calculation isn't right by the looks of it.

 

Have a read of No.1 in my signature.

 

Do you have all of the figures from the loan agreement and do you have a record of all payments made?

[Bangorlad]

Hi Ims,

Thanks for your response.

 

From what I can see you apply compound interest to the premium.

 

Add the premium and compound interest together and then apply simple interest to that amount?

 

For instance the first premium is £15.72.

 

The compound interest @ 11.425 from April 1999 to October 2012 is £57.37.

 

Add these two together you get; £73.09.

 

The simple interest on this @ 8% for the same period is £78.51.

 

Adding all figures together,

 

you get £151.6 repayment for this premium.

 

Is this right?

Thanks,

Adrian

[ims21]

No that isn't the right way to do it.

 

If you can post up the figures from the agreement we can show you how it's done.

 

Did you read the item at No.1 in my signature?

[Bangorlad]

Hi Ims,

It wasn't a single premium PPI.

 

The premium was variable and added monthly.

 

I paid it from April 1999 to November 2001.

 

I then cancelled it.

 

The total premium was £460.

 

Sometimes the premium was £15, sometimes it would be £20.

 

It was a percentage of the loan amount I had at that time.

 

The loan was a rolling loan.

 

I could take out more whenever I needed.

 

I still have about £3000 to pay off.

 

What figures do you need in order to show me?

 

Thanks,

Adrian

[ims21]

Hi

 

Ok so this was a rolling loan. I thought when you mentioned " loan " it was a standard loan.

 

Who was this with?....wasn't HFC was it?

 

Have you still got all of the statements?

 

We can still help you with this but you will need all of the statements if it is rolling/revolving credit agreement.

[Bangorlad]

Hi

 

Ok so this was a rolling loan. I thought when you mentioned " loan " it was a standard loan.

 

Who was this with?....wasn't HFC was it?

 

Have you still got all of the statements?

 

We can still help you with this but you will need all of the statements if it is rolling/revolving credit agreement.

 

[dx100uk]

nothing posted.

 

can you scan up the agreement

 

and the statements please

 

set your default scan page size to A4 less than 300DPI [150 will do]

scan the required letters/agreements/sheets - as a picture[jpg] file

don't forget you can use a mobile phone or a digital camera too!!

'

BUT......

ENSURE: remove all pers info inc. barcodes etc using paint program

but leave all monetary figures and dates.

*********************************************************

{DO NOT USE A BIRO OR PEN OR USE SEE THRU TAPE OR LABELS]

try www.pdfescape.com TO BLANK STUFF,

*************************************************************

or

DO IT IN MSPAINT.EXE or any photo editing program

goto one of the many free online pdf converter websites ...

http://freejpgtopdf.com/

..

if you have multiple scans/pics

put them in a word doc FIRST and convert that to PDF

or use www.pdfmerge.com

 

convert existing PC files to PDF [office has an installable print to PDF option]

..

 

it would be better to upload a multipage pdf if

you have many images too rather than many single pdfs

.

or if you have PDF as an installed printer drive use that

or use word and save as pdf

try and logically name your file so people know what it is.

though dont use full bank names or CAG in the title

i'e Default notice dd-mm-yyyy TSB

.

open a new msg box here

hit go advanced below the msg box

hit manage attachments below that box

hit the add files button on the top right

hit select files, navigate to your file on your pc

hit upload files

.

dx

[Bangorlad]

Hi Ims,

What all the statements or the statements when the PPI was applied?

Adrian

[ims21]

The ones while the PPi was being applied would be a good start

[Bangorlad]

Hi Ims,

It is back with the fsa. It is a Barclays loan select. They are trying to say that it is not a loan but a credit facility which is laughable. That is why the simple interest is so low. The fsa are going to get back to them and they have two weeks to respond.

Thanks,

Adrian