BOS Irresponsible lending Case - with FOS

[Angus70]

FOS has, today, uphold my brother's complaint for irresponsible lending back in 1998 with Bank of Scotland - due to a special circumstances as he is profoundly deaf with limited English.

 

I dont know how to work out the redress/8% simple interest  works out..

 

He borrowed £11,000 plus £4180 "credit care" and £5180 interest at 12.8% in July 1998  (Luckily he still has the original loan agreement) for 62 months but he has only made 23 monthly payments and paid it off using his aunt's inheritance 2 years later, in July 2000. The monthly payments were £346.10 per month.

 

FOS has stated:-

 

To settle Mr M’s complaint Bank of Scotland should do the following:
 To add up the total amount of money Mr M received as a result of having
been given the loan. The repayments Mr M made should be deducted from
this amount.
 If this results in Mr M having paid more than he received, then any
overpayments should be refunded along with 8% simple interest (calculated from the
date the overpayments were made until the date of settlement

How does the redress refund worked out? I think he is in for a big payout ?

 

Thanks!

Edited August 31, 2021 by Angus70
Wrong amount entered

[Angus70]

Can any one please help?

 

Thank you!

[Andyorch]

 Work out the annual interest: take the amount you’re claiming and multiply it by 0.08
(i.e. 8%).
 Work out the daily interest: divide the yearly interest from step 1 by 365 (the number of
days in a year).
 Work out the total amount of interest: multiply the daily interest from step 2 by the
number of days the debt has been overdue.

For example, if you were owed £1,000:
 the annual interest would be £80 (1000 x 0.08 = 80)
 divide £80 by 365 to get the daily interest: about 22p a day (80 / 365 = 0.22)
 after 25 days this would be £5.50 (25 x 0.22 = 5.50)

[dx100uk]

Use our staint sheet

it does it all for you!!

 

https://www.consumeractiongroup.co.uk/topic/286114-latest-spreadsheets-ppi-claims-and-charges-claims-dec-2011/

[dx100uk]

Simply enter the date/amount of EACH overpayment individually

the sheet does the rest

do not touch claim to date box!

[Angus70]

Thanks People for your reply and your help with the useful link!

 

Thank you so much!

 

Have a good day!