Welcome Finance PPI claims to go through FSCS

[mosten]

Re: Welcome Finance PPI claims to go through FSCS

Welcomes favourite tactic is not sending the forms out... congrats on that part at least... The forms are ten pages long but the CMC v Doing yourself argument/discussion usually doesn't apply if you are reading the pages on this forum....

Because you are here in the first place, leads me to believe you are more informed than the average person in regards to why they may have mis-sold you the ppi...

If any person in the street gets those forms thou, they have to construct the arguments correctly which is where the CMC has the advantage... The major benefit of doing it thro a CMC is that , if they are decent one, they will put the argument in a more constructive, legal, based on rules and regs etc etc..

It would, in my opinion , for the average welcome finance client have more chance of success if going thro a CMC...

Welcome are in right state at the minute and the FSCS really didn't expect or forsee all the problems they were letting themselves in for and are not organised enough to deal with the 30,000 claims they were hoping to do per month... What they have found is they have another 30,000-40,000 calling up for the forms and cant cope... Your 21 phonecalls and 13 weeks trying to get a form that should have been sent out within two shows me they are either in a mess or not sending forms on purpose hoping you forget about it or at least delay the claim..

The average welcome client might think I would rather get the CMC to fill it in and get 75-80 % of what I would get rather than try it myself and get nothing if its not upheld...

[dogtired]

Re: Welcome Finance PPI claims to go through FSCS

In our case Welcome have taken to sending "letters" from a firm of debt collectors called Incasso this on one they have never supplied the correct paper work for.
We did "win" a ppi claim with FOS but refused to sign the forms as all they were was a NEW loan i do not think so so want to get shut of them but not the only one getting the run around!
keep it up everyone I for one am not giving in!

[dogtired]

Re: Welcome Finance PPI claims to go through FSCS

This is the letter is it leagal?

[leclerc]

Re: Welcome Finance PPI claims to go through FSCS

In our case Welcome have taken to sending "letters" from a firm of debt collectors called Incasso this on one they have never supplied the correct paper work for.
We did "win" a ppi claim with FOS but refused to sign the forms as all they were was a NEW loan i do not think so so want to get shut of them but not the only one getting the run around!
keep it up everyone I for one am not giving in!

Was the new loan based on the amount outstanding minus the PPI taking into account all payments made to the loan?
My understanding is that if that was the case then their approach is in line with FOS guidelines with regards to live loans so to speak.

how does the ombudsman approach redress where a PPI policy has been mis-sold?

If you read this bit specifically:

"a restructuring of the loan going forward (if it is still in place) so that the amount owed, the monthly repayments, the term and the charges reflect those that would have applied, if the original loan had been sold without the PPI policy; or if the loan was terminated early, then a comparison of the settlement costs that the consumer incurred with those they would have incurred, if the PPI premium had not been added to the loan;"

[EXC]

Re: Welcome Finance PPI claims to go through FSCS

The FSCS have published their annual report.

PPI highlights below:

FSCS Annual Report 2010/11


Welcome Financial Services Limited
The FSCS is using the claims-handling resources of a firm in default to handle compensation and save money for levy payers.

Welcome Financial Services Limited (Welcome) was declared in default on 2 March 2011. To assist in its handling of claims, the FSCS has arranged to use Welcome’s claims-handling capabilities. Welcome’s restructuring arrangements also provide for payments to the FSCS to fund compensation and the associated costs for handling PPI claims in respect of policies sold on or after 14 January 2005.

Furthermore, the payments which are received from Welcome will ensure that the levy payer is in a better position than would otherwise be the case had the firm been made formally insolvent.

The FSCS will remain responsible for all decisions on claims, which will be made in accordance with the rules set by the FSA, and we will closely monitor and oversee all steps in the handling of claims. This arrangement will enable claims to be processed as quickly as possible.

Due to the substantial number of potential claims against Welcome, a contact programme has been established, which launched on 15 March 2011. A small number of claims were processed in the financial year ending 31 March 2011.

These arrangements, we believe, will benefit all our stakeholders: consumers with eligible claims will be compensated for mis-sold PPI policies; our levy payers will receive a substantial measure of protection against the costs of those claims; and the Welcome business will be wound down in an orderly way.

We have seen a steady increase during 2010/11 in PPI claims, while the number of non-PPI claims remains low. As with 2009/10, there have been a number of technical issues to resolve to complete the processing of PPI claims. We have also experienced some difficulty in gathering the requisite information from third parties. However, we have still managed to process the vast majority of claims in a timely manner.

The FSCS has also looked at the overall process for handling PPI mis-selling claims and we have made several changes with the aim of making the process clearer for the claimant. Previously, claimants were returning incomplete application forms, so we have emphasised the information that is required before we can consider a claim and simplified the questions. Once this information is supplied, we anticipate that the data gathering and quantification processes will be much easier to complete. We also expect the clearer processes to result in a faster turnaround time from application to decision for the majority of claimants.

Of the total number of new claims received, 8,001 related to PPI. Of these, 1,520 related to one firm, Picture Financial Services Plc, and 220 related to Welcome Financial Services Limited.

Of the PPI claims, 7,772 were completed and 86% of claims resulted in an offer of compensation. The average compensation paid was £5,261.


Examples of how we calculate financial loss
Payment Protection Insurance (PPI) mis-selling claims

For PPI mis-selling claims, we may reimburse the claimant their original premium amount, together with any loan interest paid by the claimant to date in respect of that premium, less any benefits a consumer might have already received and minus any rebate due on cancellation. We may also take account of an element of a future ‘no claims’ bonus payable under the policy.

[dogtired]

Re: Welcome Finance PPI claims to go through FSCS

Was the new loan based on the amount outstanding minus the PPI taking into account all payments made to the loan?
My understanding is that if that was the case then their approach is in line with FOS guidelines with regards to live loans so to speak.

how does the ombudsman approach redress where a PPI policy has been mis-sold?

If you read this bit specifically:

"a restructuring of the loan going forward (if it is still in place) so that the amount owed, the monthly repayments, the term and the charges reflect those that would have applied, if the original loan had been sold without the PPI policy; or if the loan was terminated early, then a comparison of the settlement costs that the consumer incurred with those they would have incurred, if the PPI premium had not been added to the loan;"

It was NOT a live loan as we have had no signed cca and the one at old address was supposed to have been paid off when we moved.
Its a bit complicatied to explain but we had been at new addresss for over a year when they contacted us again to say they had been errors form our solicitor (which she denied) but not knowing any better I started to pay them.
It was looking up sites like LBs and SARs that I discovered that the loan numbers were different and it had allegely been rewritten the year before we moved house.
As i say I am not sure if its the right thing to do or not but am only in contact with them, in writing and have not paid them for over two years, if they could "prove" the alleged account existed they should have provided this proof, but they made a complete hash of it and its is the old loan that we are claiming on, I showed the cab the papers for that and it is down as being paid off in 2004.
And why get Incasso involved when the alleged accoount is in dispute?

[leclerc]

Re: Welcome Finance PPI claims to go through FSCS

I think separate to the PPI claim you should have a complaint into Welcome asking for more information on this debt, ie loan agreement, amount, term, when it was drawn down and when the loan is due to be repaid.

[dogtired]

Re: Welcome Finance PPI claims to go through FSCS

I think separate to the PPI claim you should have a complaint into Welcome asking for more information on this debt, ie loan agreement, amount, term, when it was drawn down and when the loan is due to be repaid.

i
I did an SAR but all tht produced was incomplete and only had an account from a previous address and not the one that I am contesting its been a bit of a shambles really.
Thy did ADMIT that they could not find records for this account but have never produced any thing to "prove" it

[roffster]

Re: Welcome Finance PPI claims to go through FSCS

Mosten makes some good points. We struggle to get consumers to bother to sign the forms and send them back. The majority when faced with a document 11 pages long that needs filling out just won't bother. The number of times we have struggled to get forms back when there is clearly several thousand pounds due to the client is crazy, but that is the nature of many people. As Mosten says, if you are on here looking and learning then you are already very different to the majority of consumers who were mis-sold this insurance in the first place.
Anyway, on to my point.
As a heads up to anybody who has claims in with Welcome let me share my experience of the last few weeks. We have a number of claims already submitted to Welcome and we had not received any response. One of them I had complaind about them being over their time limit twice and I got a phonecall from an employee apologising and saying he was now dealing with it. A month later I called Welcome and had the most bizarre conversation along these lines.
Anything after 2005 would have been passed to the fscs and would be dealt with by them (great, at least I knew who to call next), claims prior to 2005 would be dealt with by welcome. I then gave them the complaint details for the cases that we had not received any communication on. They had no record of the complaints, despite me being able to give them the name of the employee who had called me to apologise about one of them......nothing. I had to re-submit those complaints by fax so that they could raise a reference number. I have still heard nothing several weeks later.
I then rang the fscs and guess what? No record of any of the cases that should have been passed to them. Furthermore, we should have received revoke letters from Welcome telling us that the claim had to be re-submitted to the fscs and that the original complaint no longer stood. As you can imagine the conversation got very heated as all complaints had been submitted correctly in the first place. I have since had to get forms sent to all clients (only one appears to have actually arrived to date) as the fscs would not send them to us despite us already having submitted an LOA from the client for the case.
There is something very smelly, disorganised and not very clever going on and I fear it will not end well for the clients.
So if you have any Welcome claims in and have heard nothing, get on the phone or the utter incompetence of Welcome and the fscs will ruin your claim.

As I've said before and I'm sure Mosten will agree, not all CMC's are the same and the work we put in to get our clients money back is certainly worth the fee.

[mosten]

Re: Welcome Finance PPI claims to go through FSCS

Any claims sent to welcome before they went pop in march 2011 are only dealt with if they are pre 2005.... welcome do these... Any that are post 2005 will have been destroyed and not even looked at... ( disgusting and obv tactic..) Need to resubmit now on the FSCS forms you will do well to get them to send.... they also try and advise the client they can try and do it themself so by prob the compliant will be not as strong as if cmc helping them but also , if the complaint was originally with cmc, still telling them you can do it your self and kind of making them believe they can get out of the contract they signed with the cmc before..




Also , please advise on this if anyone knows...

Found out today about someone who got paid out by the FSCS.. (round of applause to start with)

The claim was only paid out 90% of what they said it should be, ok knew that,
but they said they DIDN'T need to pay the 8% statutory interest on the premiums... !!!

Is this correct and can you show me where it says this or where it says they have to pay it please..?

[roffster]

Re: Welcome Finance PPI claims to go through FSCS

Mosten, no idea on that bit yet as haven't got that far. But it seems that it is all stacked against the consumer. The FSCS are sitting in the same office as Welcome because they have better access to all the info they need. So far it seems that the terrible customer service and incompetence of Welcome seems to have been adopted by the fscs as good working practise.

[leclerc]

Re: Welcome Finance PPI claims to go through FSCS

Any claims sent to welcome before they went pop in march 2011 are only dealt with if they are pre 2005.... welcome do these... Any that are post 2005 will have been destroyed and not even looked at... ( disgusting and obv tactic..) Need to resubmit now on the FSCS forms you will do well to get them to send.... they also try and advise the client they can try and do it themself so by prob the compliant will be not as strong as if cmc helping them but also , if the complaint was originally with cmc, still telling them you can do it your self and kind of making them believe they can get out of the contract they signed with the cmc before..




Also , please advise on this if anyone knows...

Found out today about someone who got paid out by the FSCS.. (round of applause to start with)

The claim was only paid out 90% of what they said it should be, ok knew that,
but they said they DIDN'T need to pay the 8% statutory interest on the premiums... !!!

Is this correct and can you show me where it says this or where it says they have to pay it please..?

That bit would be correct because the FSCS is not the FOS so that means that their rules are slightly different to them. Worth an email to the FSCS about that issue just to clarify their processes, right?

[skv123]

Re: Welcome Finance PPI claims to go through FSCS

Also , please advise on this if anyone knows...

Found out today about someone who got paid out by the FSCS.. (round of applause to start with)

The claim was only paid out 90% of what they said it should be, ok knew that,
but they said they DIDN'T need to pay the 8% statutory interest on the premiums... !!!

Is this correct and can you show me where it says this or where it says they have to pay it please..?

This isn't Welcome specific. The FSCS have never paid compensatory interest at 8% on any claims. They pay a pitiful amount that they term as "a reasonable rate of interest". They always have.

[mosten]

Re: Welcome Finance PPI claims to go through FSCS

Ah, thanks again... At least they are consistant in their measly payments then.. ;(

[leclerc]

Re: Welcome Finance PPI claims to go through FSCS

I've spent a few weeks trying to get a blank form from Welcome Finance so that users here and elsewhere can specifically have a form to claim from Welcome as their forms are different from others due to the FSCS being involved. Their response as to why it is not online is to specifically state that the barcode on the claim form has a "uinique identifier" which is the reason why you cannot put them online. That is a pretty crap system IMHO since all banks currently have on their website an FOS standard form. They have, for some reason, stated the pretty obvious thing to me, that they cannot accept a complaint via email as they require an original signature( no **** sherlock!!).
Am clarifying the issue of the barcode just so that I am 100% certain that the barcode issue is not some red herring.

EDIT: that does sound to me as though it is a very expensive exercise of having individual barcodes for complaints when simply a complaint reference number/loan number as used by the main banks might be simpler.