Offer Received, how to check its worth it?

[kosch]

Hi

Filled out the Standard PPI claim for my fiancé about 9 weeks ago. Just got home from visiting her parents, checked the post and there was a letter from HSBC with an offer of £12,329 (£3806 of that is the 8% interest). It seems this offer also included not just the original loan I filed the complaint for but also some smaller ones she had in the past (nice bonus!)

Now I'm wondering how do I go about working out of that's a fair offer. I've read a few posts talking about adding compound interest to that but I'm not really sure how to go about working that out.

I don't want to be super greedy and fight them for more way money with the risk of loosing the original offer as we are due to get married in October and also hoping to move house so this really couldn't have come at a better time I just want to insure if its a fair offer and not the bog standard "send this out and hope they go away offer".

Thanks for reading.

Doug

[di30]

Re: Offer Received, how to check its worth it?

Firstly welcome to Legal Beagles.

Congratulations on your success!

I am not the one for the calculation side of it myself, but maybe Billk/Turbo will post up a calculation sheet and explain how this is done.

However, you can as well post up the calculations/breakdown here if you want to.

Basically though, what I do know is that if they agreed and uphold your complaint, they should refund you all you paid of the PPI to the account, and you should receive the relevent interest with that as well.

Not sure if this have been mentioned on your letter, of if they already deducted this, but the interest of it is taxable, so if your a basic tax rate payer, the HMRC will deduct 20% of the interest.
If your not a tax payer and if it have already been deducted you can ask the business/bank or HMRC for a form and reclaim that back, and again if your a higher rate tax payer (and the basic of 20%) have already been deducted you should ask for a form to complete so that its deducted accordingly with what you usually pay.

Do check though in case they have already deducted the tax, they should confirm if they have done this or not.

I believe what I have said is correct, unless someone else says otherwise.

Again well done on your success.

[di30]

Re: Offer Received, how to check its worth it?

Right came across the thread/links to our Turbo/Bilks on how to understand Calculations, this may help.

http://www.legalbeagles.info/forums/...I-Calculations

[kosch]

Re: Offer Received, how to check its worth it?

Hi Dizzy

Thanks for the link I'll take a read and see if my head spins.