Natwest credit card ppi query

[Kingston36]

Afternoon,

first post on the boards, so please be gentle!

natwest are calculating an offer to us for ppi on a credit card my husband has held since 1993, however they were only able to provide copy statements from 2001 for our sar request.

So when they work out the offer will it just be from 2001, or will they calculate from 1993 (we do have a letter from them confirming that the ppi was in force from 1993)

Also are natwest currently including an 8% interest payment?

thanks for taking the time to read and for any assistance that anyone can give

[robin-hood]

Re: Natwest credit card ppi query

They will use a reconstruction for the period before records are available in 2001. This is an approved technique but open to abuse by some banks that apply unfair assumptions. However, Natwest always seem pretty fair in the way they extrapolate their numbers.
You have the right to ask for a full calculation, not just the top level summary. This will show you the actual monthly amounts that have been reconstructed to mirror the patterns from when data is available. If you are not happy with the reconstructed amounts you can request a redress check from the FOS who will advise on its fairness.

[Turboman]

Re: Natwest credit card ppi query

See also from the FOS

http://www.financial-ombudsman.org.u...tment-loss.htm

he interest rate we use

We usually tell businesses to pay interest at the statutory rate, which is currently 8% simple. When this relates to a period before 1 April 1993, we take into account the fact that the statutory rate was 15% simple at that time.

We use the statutory rate to reflect the fact that:

• the rate is gross before tax is deducted;
• it applies to historic losses at times when different base rates applied;
• it takes account of current interest rates being charged on overdrafts and loans – which have not reduced in line with the base rate.