Gear Head

iTrader: (2)

About two months ago, I received a letter from Halifax stating that they were currently investigating the miss-selling of PPI (Payment Protection Insurance) and what to do if I felt I had a claim. This was in relation to an old Halifax credit card that has now been paid and cancelled for some time. The balance was only ever a maximum of around £2000.

I was a little shocked as I had never even asked for it, so not even allowing to have the chance to miss-sell it! Had they robbed me without me even noticing?

So I gave them a call explaining the above and a lady lodged my complaint and said to expect an answer within 90 days.

Today, (6 weeks later), I received a letter stating the following:

'I am writing to you today in relation to your complaint about your Payment Protection Insurance PPI policy. Thank you for your patience as I know it may have been some time since you first contacted us.

Our Offer

As our final response, we would like to offer you a refund of £212.83 representing all the PPI premiums paid (inclusive of interest). We will also apply simple interest at 8% for any period where your account was in credit, or from the date of the card being closed to the date of payment. Should you accept our offer the payment we make to you will also take into account any other factors that are relevant to your circumstances. For example, if you have made a successful claim against your PPI policy or if you have already received a partial refund of your PPI premiums, then these will be deducted from the overall payment.

Calculations as follows:

Refund of premiums = £118.85
Refund of interest applied to the account because of PPI = £39.80
Interest at 8%, calculated up until the = £54.18

Total = £212.83




Basically, is this acceptable as I have no idea about this sort of thing.
I didn't even know I was owed it and didn't expect anything to come of the call I made.
I don't have my old statements now as I had a clear out of any paperwork over 3 years old.

But as you hear the PPI reclaim specialists spouting all their bull on the tv, what do I do?

Accept or take it further? Normally, I wouldn't bother, but because I now have a young family to support, I will take anything we are entitled to!
I would end up putting most of it in his trust fund anyway.

Anyone had experience of this?

Hanley

200 quid you never had.....take it

Mrfastbaz

as above take the money you didnt know you were owed and it is a nice little windfall....

acstua

iTrader: (1)

aye i did the same after getting some insurance for free, that turned into a monthly payment which i "didnt notice"
ended up with 360quid

was annoying tactics they used to sell the insurance at the time
"its free you should just take it, nothing to lose" etc

acstua

iTrader: (1)

my brothers other half ended up with a few grand mind, but that was for a large car loan

Chip

Take the money now that you may not really be entitled to and next time you take out a loan read the agreement before signing which you obviously didn't it do on this occasion.

richgreenscooby1

iTrader: (2)

Halifax are offering u the PPI on a cc u have had wid them in the past I would take it that have worked out all the calculations already. a lot of people are getting these sent out if they feel they could of possible been miss sold the ppi..... if u had any other cc or loans with any other bank u can still make a separate claim on each one... so check if u have any others an do the same....

Hope this helps

Hanley

Man your post was hard to read!! Like reading a massive text message!!

Trout

iTrader: (1)

I have just been offered £212 for free, that I didn't know was owed to me or what for.

Should I accept it, or shall I ask for more?



Are you mad?

Chip

Mad enough to sign up for it in the first place.

Trout

iTrader: (1)

Like many Halifax customers it is built into the product and unless you look you get stung.

They did it with me on a mortgage once.

Do you want MPP - No, I am already covered.

Three months later I get a huge premium coming out of my bank account for the first three months.

Which bit of NO didn't you get?!!

Made them pay me back - even though they claimed that the cancellation costs were x. I threatened to send the boys around

Gear Head

iTrader: (2)

I did not sign up for it. Whenever I have been asked, I have always said no.
I did not check my statement that carefully as I was a young and stupid at the time. I must have only been 18-23 when I had this card.
May be I thought I could trust the banks!

Please understand that they did basically 'steal' money from me.
That is what ****&s me off. If asked, I would have specifically said no.

Like I said, if I didn't have a young family to look after now, I wouldn't bother. But if I can get a few more quid into my sons trust fund, why shouldn't I check if what they are offering is a 'fair' amount?

richgreenscooby1

iTrader: (2)

Haha , i did not type it , it was the missis , she deals with that type of thing and wanted to comment ...

Trout

iTrader: (1)

What makes you think you will get more?

The offer is explicit - the interest level very generous - what more do you want?

Dedrater

I would not accept it. I would first find out how much you are actually owed by sending a Subject Access Request, there is a statutory £10 charge for this. They will send you your statements, in block form, for the past 6 years.

Quickly add the PPI up and you may well find you are owed a grand, rather than a few hundred quid. Offering a few hundred is easy for them to obtain a full and final settlement from you.

madscoob

iTrader: (3)

i did that and just got a cheque from Lloyds for £2684.98 goes back years . and i never asked for ppi . my case was, well i have worked at the same place for the last 18 years , if i was made redundant thay would have to pay me more than i would ever of owed this card . so why would i want ppi . thier answer no problem sir we will send you all the details to check . cheque cleared in nat west today

Trout

iTrader: (1)

According to the OP it is not an offer - it clearly states refund of premiums and identifies what those were.

It really depends on the average outstanding beyond the 56 day period.

Average card PPI premium is around 0.8% - with an average outstanding balance of £500 that would be £4 premium per month.

So based on the OP information if he had the card for two years with an average outstanding balance of £500 the premiums would be only be £96.

If the average outstanding balance was £2,000 then the monthly premium would be £16 per month. For the refund to be £,000s the balance would have to be outstanding for more than 5 years.

And even with a £2,000 balance - if you pay off, even £500 per month and spend it again, the average outstanding is only £1,500. So that would be over 8 years to even get to a premium of a £1,000.

I hope this makes sense to Gear and he can estimate whether he thinks he is owed more.



Now unsecured personal loans is a whole different ball game - there you can reclaim thousands, even on a small loan!

Trout

iTrader: (1)

That is a lot of premium for card PPI!

Dedrater

I am sure i have read in the Martin Lewis email that some guy got 8k back, will have to check.

Trout

iTrader: (1)

Dedrater - it is absolutely possible to get £8k back...

...on an unsecured personal loan. For a card that is a lot of money owed for a long period.

Card PPI is around 0.65 to 1.00% of outstanding balance. Look at the calculations above to get to £8,000 you are dealing with a very dodgy card issuer or have a MASSIVE amount outstanding for a long time. To get to £8k premium on card PPI - your total outstanding balance over the period would be a cool £1,000,000.

Even over 10 years that is an average outstanding balance of £8,300 per month. Absolutely possible - but the exception.

madscoob

iTrader: (3)

10 years worth or round abouts . i did owe 5g on a regular basis but paid it off every year with bonuses £30quid a month ppi for 10 months is £300 x10 years owing 5g every year , so i just took the money and said THANK YOU

Trout

iTrader: (1)

I did guess it must be been up there!

Good result!

Saint AAI

Is there any chance of getting money back after 6 years? I took a loan out when I was around 18-20 and the bank told me I had to have PPI as it was my first loan. This was over 10 years ago.

Trout

iTrader: (1)

It is worth challenging - unsecured personal loans had huge premiums. Even if it was £1,000 you could get £200-300 back.

Gear Head

iTrader: (2)

Trout, their letter states: Our final offer.

How can I trust what they say after this?
I will request a copy of my history with them. £10 is worth a punt don't you think.

Can you grasp what they did? They stole from me.
All they have offered back is what they stole plus som one off rate of interest. You know that when you borrow from them, it is compounded interest. So why don't they offer me that?

If a person is convicted of theft, they sometimes end up in prison.
Yes, I do feel that I deserve some compensation.
Wife and I have 6 accounts with halifax and our mortgage and have been with them for nearly 15 years.

I have no problem taking all of this elsewhere else.

Chip

Go ahead then, but I very much doubt you will get anywhere and you will have to pay upfront costs for legal advice etc.

Trout

iTrader: (1)

Personally I think you are completely wasting your time.

You should do whatever you think is right for you - and if you get a few pounds more you can can come back to this enjoy that moment.

Chip

And if you did go to court then it would in all probability take a few years so not really worth it.

Trout

iTrader: (1)

Like any adverts they always speak of best case.

The big numbers in PPI relate to unsecured personal loans. And they are big.

As mad said - he had £5,000 outstanding for ten years to get a refund of a couple of grand on a card.

Most credit card holders might get a few hundred pounds, if that.

Chip

Mrs Chip tells me she gets calls from peeps claiming they were mis-sold PPI even though they have had a claim on the policy.