First Direct PPI & Credit Card Charges

Starting a new thread for a new claim for monthly PPI and credit card charges.

Received my SAR from First Direct just b4 Christmas. Straight into the drawer along with all the other horribles until after Christmas.

Discovered on opening it today that I took out PPI (they called it "Credit Card Premium Protector") and paid them £1100 in PPI over a 3 year period (high credit limit!). That's net of interest too. Also £200 in late payment charges of £20 and £25 a pop over same period.

The background is that a card, loan and overdraft were consolidated by first direct into a new loan with low repayments under a DMP 4 years back now.

I have now printed out the FOS PPI Questionnaire and will fire this off to First Direct together with an adaption of Tools' credit card charges letter plus a spready for both the PPI and charges.

I have struggled with the spready as I am none too clear how to enter the auto calculations for the statutory interest on the PPI. I have asked for contractual interest for the credit card charges.

Am hoping Bill or Turbs in Simiantics enclave may come to the rescue with the spready! Might be worthwhile doing a separate one for the charges.

[pompeyfaith]

Re: First Direct PPI & Credit Card Charges

I have struggled with the spready as I am none too clear how to enter the auto calculations for the statutory interest on the PPI. I have asked for contractual interest for the credit card charges.

As the PPI or as they put it CCPP was added to the credit card balance you would of paid interest at the card rate anyway so it is only right that you should get this back aswell as 8% stat as compensation for denying you use of this money.

Im sure Bill or Turbs will be along to help you

Good Luck DS

[Caspar]

Re: First Direct PPI & Credit Card Charges

Perhaps a spreadsheet for each could be posted as a sticky somewhere with a thread saying it's being done. They would be incredibly useful for those of us with an allergy to formulae in Excel!

[The Debt Star]

Re: First Direct PPI & Credit Card Charges

Hi guys, thanks for your posts.

Casp, I will gladly post up the spreadies but it would be best to do so after the claim is settled (a) we need to know if the claim will succeed and (b) it may not be such a good idea while the claim is being investigated by First Direct.

PF, noted, with thanks, your comment about claiming BOTH stat interest AND contractual interest.

I have asked the Big Fella at Simiantics to help me with the spreadies and he has kindly offered to help me with these.

Will report back in due course.

"You're all clear, kid, now let's blow this thing and go home!"

[leclerc]

Re: First Direct PPI & Credit Card Charges

With the credit card charges First Direct WILL offer the difference between £12 and the £20/£25 charges to begin with.

The PPI issue may be subject to the Judicial Review so unless it is coming up to the Statute of Limitations 6 years then it might be worth pursuing the Credit card charges firstly and then the PPI.
------------------------------- merged -------------------------------
I would add that a lot of these online credit card applications may well have had the tick box for CCPP and that you would have been automatically opted in if you didn't untick the box.

[The Debt Star]

Re: First Direct PPI & Credit Card Charges

The CCPP box was tick box yeah, but I don't think it was default. I will try & post up the CCA here for opinions. The tick box did say "we recommend you take the PPI" (sic) and there's defo a liability here imo because I never received advice on it.

Q1. Does the limitation period of 6 years apply in PPI claims? I had thought it began when we became aware of the mis-selling?

Q2. Ref charges and dfifference between £20/£25 and the £12. When you say they will offer the difference to begin with, are you suggesting that I rejcet such an offer and hold out for all of it?

Obviously the biggie is the PPI. BUT it was taken out in 2002 (ended in 2006).

[leclerc]

Re: First Direct PPI & Credit Card Charges

q1. PPI has never ever been my speciality so Statute of Limitations part was only in relation to credit card charges.

q2. Usually they do with regards to UTCCR 1999 with regards to the £12.00 charges but their first offer is usually the difference between old fees and new fees.

[The Debt Star]

Re: First Direct PPI & Credit Card Charges

Here's the CCA. PPI box ticked and statements from SAR confirming monthly PPI paid. If there's nything suss about the CCA let me know but it looks kosha to me.
http://i822.photobucket.com/albums/z...1/94f915fc.jpg
http://i822.photobucket.com/albums/z...1/670f3074.jpg

[pompeyfaith]

Re: First Direct PPI & Credit Card Charges

Well looks like there is an issue with the PPI to me, as the do not require box has been ticked then someone has scribbled that out and ticked the yes box.

I would not put it passed the lender to do that as I've seen it many times now.

Furthermore as this would have been done after the application was sent back to them you would not have known ether.

You could say why was it not noticed on your statements, but then many folk do not study there statements, but just pay the amount asked for that month.

So the limitation begins from point of discovery.

[Angry Cat]

Re: First Direct PPI & Credit Card Charges

"We recommend that you take out this valuable protection."

Valuable: ajc; having great worth.

Slighty better than MBNA, who strongly recommended same.

However, it is of no worth, not valuable, if the product fails. Because, of it's exclusion and exemption clauses, which were not explained at the point of sale!

[The Debt Star]

Re: First Direct PPI & Credit Card Charges

Thanks for your post PF.

I would have to say that it was probaby me that crossed out the "no" and opted for "yes." I can't recall for certain but I could not hold FD to task for that as it was most likely me. Goes back 8 years now & I honestly don't know for sure but it looks like my scribe.

PPI seemed like a good idea and as they say on the PPI options box it covered a multitude of mishaps. The box stated that "Credit Card Premium Protector is specially designed to protect your card repayments if accident, sickness, unemployment or death prevent you from being able to pay them myself."

They went on to state "we recommend that you take out this protection." I ticked the yes box on the basis of this clear advice. As a lay consumer and non-finance expert this seemed the right thing to do. This was the only 'advice' (for want of a better word!) and the only information supplied by First Direct concerning the PPI. They just collected from thereon in.

I do not recall being given any information, or any information of significance about the insurance.

The cost, benefits and terms were never explained to me.


I was not asked whether I had any other PPI insurance which would cover the credit provided, neither was I told I could buy PPI elsewhere. No one at the bank asked me if I had this before their "recommendation" arrived in the form of a tick box on the CCA itself.

I was not offered a refund of the balance of the monthly premium when the account entered into a Debt Repayment Plan arranged by First Direct in June 2006, when my card, a loan and my overdraft with them were "consolidated" into one account with agreed repayments.

The Terms & Conditions of the PPI were not explained to me (I still have absolutely no idea what these were) and I did not receive a copy in my Subject Access Request from First Direct.The credit agreement does not refer to the fact that interest would be added to the monthly premium PPI.

I have no idea if FD were paid commission for the PPI. In any event it was clearly held out as having been sold by FD (despite the fact they may try to palm all responsibility off onto a third party insurer), imo they owed a duty of care to me for the policy and not the insurers (whoever the heck they were).
------------------------------- merged -------------------------------

"We recommend that you take out this valuable protection."

Valuable: ajc; having great worth.

Slighty better than MBNA, who strongly recommended same.

However, it is of no worth, not valuable, if the product fails. Because, of it's exclusion and exemption clauses, which were not explained at the point of sale!

Absolutely. These PPIs were sold as cash cows by the credit card companies; you are covered for this,you are covered for that, but no "might be covered" and no explanation at point of sale.

[Angry Cat]

Re: First Direct PPI & Credit Card Charges

Thanks for your post PF.

I would have to say that it was probaby me that crossed out the "no" and opted for "yes." I can't recall for certain but I could not hold FD to task for that as it was most likely me. Goes back 8 years now & I honestly don't know for sure but it looks like my scribe.

PPI seemed like a good idea and as they say on the PPI options box it covered a multitude of mishaps. The box stated that "Credit Card Premium Protector is specially designed to protect your card repayments if accident, sickness, unemployment or death prevent you from being able to pay them myself."

They went on to state "we recommend that you take out this protection." I ticked the yes box on the basis of this clear advice. As a lay consumer and non-finance expert this seemed the right thing to do. This was the only 'advice' (for want of a better word!) and the only information supplied by First Direct concerning the PPI. They just collected from thereon in.

I do not recall being given any information, or any information of significance about the insurance.

The cost, benefits and terms were never explained to me.

"might be covered" and no explanation at point of sale.

But, the secret commission payments were accepted by the firm:

http://www.legislation.gov.uk/ukpga/...-relationships

[The Debt Star]

Re: First Direct PPI & Credit Card Charges

Is this legislation retrospective?

[The Debt Star]

Re: First Direct PPI & Credit Card Charges

well I HOPE it is

Bill K has kindly prepped my spreadie. Apparently I made a right mess of it!

A big thanks to Bill for helping with this. Cheers mate.

Bill calculates my PPI claim in excess of £2000 inclusive of interest so well worth the effort pursuing this. Although I fully expect the judicial review to screw it up - just like when I woke up too late to claim back punitive bank charges !

DS

[The Debt Star]

Re: First Direct PPI & Credit Card Charges

Charges

First Direct have agreed to refund me £200 of CC charges and interest. So result there.

PPI

First Direct say that my complaint must await the JR. They have "registered" my complaint and will keep me informed of developments in the court case / let me know when resolved.

Q. Should I complain to the FOS now or wait until I hear from the bank following the JR?