PPI repayment offer

[dotty.]

RBS have offered my OH £1500.00 PPI refund in a direct offer, they haven't gone through the company he is using for the claim. The letter they have sent reads that if he signs and agrees to this offer of the refund of £1500.00 they will pay the money but some of it will be used to pay off the debt he has with RBS which is the subject of a payment plan after defaulting on the original 2 year loan agreement. I have said that I think RBS are contacting him directly instead of using the company he appointed in order to make this deduction, is this letter and offer the correct way of refunding PPI charges under the FSA directive? I have also told him I think that he should reply and tell RBS to contact him through the company he has appointed to make the claim.

[factor-fiction]

Maybe they think they are doing you a favour because it'll save you paying a big chunk to the claims company

[TWR]

You can do this claim yourself without a third party Dotty, I have & got a refund, as you say, ( but some of it will be used to pay off the debt he has with RBS which ) RBS are quite in order by doing that.

[bednobs]

careful dotty, i can see i of several things happening to his detriment
1) he accepts the offer from RBS and if the claims company have already done any work, they will still expect him to pay their part (in the same vein as if you sell your house privately when you are under contract with an agent, they still expect paying even if you haven't used them)
2) he still goes thru the agent and rbs still take their money back first, plus he has to pay the agent their commission on the whole amount
I have no idea if the above scenarios are likely

[bednobs]

depending on the amount he owes rbs, if he has to pay commission on the whole amount to the company, he could end up owing more than he gets back (but at least the debt will be paid off i suppose)
he'll have to read his contract with the claims company

[dotty.]

Is the money he paid to RBS in the form of PPI not his to spend as he chooses though? The defaulted loan is being paid for under a set agreement, he no longer banks with the RBS either. I am not convinced that they can take his money without his agreement, otherwise why would they send him the authorisation for that to happen, if he tells them to deal with him through the PPI claim company (he has several claims amounting to alot of money and is too busy to deal with it all) and does not give his authorisation for the deduction, can they autoimatically deduct an amount?

[TWR]

You are right on this Bednobs. Its a very easy process to go through, get your banks Phone No, they will give you op1>>2>>3>>etc, get the PPI dep, state your case, End of, It took my approx 6>7weeks, & never cost me a penny, good luck to those out there that are trying, its worth a phone call.

[factor-fiction]

I agree for new claims, TWR, but it's more complicated here as it seems mr dotty has already agreed to let a claims company act on his behalf. If they've done work they'll expect their cut

[TWR]

Look on your statement, it will show Payment Protection Insurance????? %

[factor-fiction]

I think it's well past that stage, TWR

[TWR]

With respect to you OH Dotty, he should have done this himself, Yes, I can see by what Dotty has said Factor, its so easy to do it youirself.

[dotty.]

I told him months ago it was easy to do yourself but he has several different accounts for various different parts of his business, plus half a dozen of them are for companies that have been swallowed up by bigger companies or he didn;t have enough info to do it himself, he's already had 3 re-payments of over £500 each and there is more to come. he's happy with this company, they are a branch of his business solicitor's office

[TWR]

Good Luck to you both.

[dotty.]

ahhhhhh found the answer on moneysavingexpert, if the PPI is refunded but the actual account is still active, a bank can deduct the refund directly from the account balance owing BUT if the PPI refund is from a closed or settled account, then the refund has to be paid in full to the claimant. The debt to RBS is not for the same account that the PPI was paid on.

[TWR]

I would bet on the PPI comp that started the claim to Argue & try for an amount for getting the ball rolling Dotty.

[bednobs]

i agree - if they have done any work they will probably expect their cut

[dotty.]

he fully expects to pay at least a third of each claim settled, that doesn;t bother him as he knows he would never have had the mney back nor has he the right paperwork/time to do it himself, he is expecting £1000.00 clear from this RBS one, that will buy him his new router, which is going to be offset against his self assessment.....

[TWR]

If you would have contacted me Dotty I would have done it for nothing lol, Good Luck anyway.

[dotty.]

thanks TWR, I'll post when we get it resolved. thanks bednobs and all