default notices

[Amozonia]

If you have a loan (with PPI) that you cannot repay and it is sent to Recoveries

 

 

then any PPI payments made should be used to reduce the loan (Consumer Credit Act) read the Default Notice.

 

 

Make sure that the bank does this Lloyds did not do so with mine and am in dispute with them over this.

[dx100uk]

as far as I am aware there are no rules that dictate this.

 

 

please advise where in the CCA it states this

 

 

dx

[Amozonia]

Read the DN and u will see that it states that this is what should happen, you can also check out the Consumer credit Act online. If you cannot find it let me know and I will let u have relevant part I am taking action against bank for this and other matters, just wanted to help others.

[dx100uk]

please do show us

 

 

dx

[Amozonia]

CCA Entitlement to Rebate

 

The creditor shall allow to debtor under a regulation consumer credit agreement

a rebate whenever early settlement takes place

 

 

that is to say whenever under section 94 of Act, on refinancing,

on breach of the agreement

or for any other reason

the indebtedness of the debtor is discharged

or becomes payable before the time fixed by the agreement

or any sum becomes payable by him before the time so fixed.

 

 

CCA 2004 under Early Settlement Regulations

[dx100uk]

a rebate of what?

 

 

doesn't say PPI?

 

 

dx

[Amozonia]

You need to get a copy of a Default Notice and read it, mine is with my Solicitor.

 

 

Near the bottom you will see that it states that when a loan goes to Recovery then any PPI premiums paid in should be used to reduce the loan amount.

 

 

This is what should be done as per CCA,

 

 

I don't think many people are aware of this,

 

 

so bank gets away with it,

 

 

it would be welcome news to be told u owed less.

[dx100uk]

there nothing in the std format guidelines of a default notice from the act that say that about PPI

 

 

if a creditor themselves added it then that's why we have never seen this before

and most probably designed to diddle you out of the incurred interest of the PPI.

[Amozonia]

On my DN it says when a loan goes to Recoveries at this point Loan Protection insurance should be cancelled and any rebate of premiums (if applicable) should be used to reduce the loan. Lloyds did not do this and it is part of my claim against them which has been sent to bank by my Solicitor.

[dx100uk]

but its not part of the std format for the CCA DN

 

 

so 'someone' has added it.

 

 

there is nowhere within the CCA that says PPI must be refunded if a DN is issued.

 

 

dx