How are credit card PPI repayments worked out

[hills79]

Hi
Im hoping someone can help please with my query.
Basically, its taken a year for Lloyds tsb to make a decision on my mums PPI complaint in relation to her credit card. I have been informed this week by phone that the original decision not to uphold complaint has been overturned. They have said that her paperwork is with the relevant department, who are finalising figures. We have not received anything in writing as of yet. I contacted the CEO by email outlining my frustrations at their appalling service, which I did get a response to stating we would hear within ten days. (not sure I believe this as I have been fobbed off for the last 12 months)

Anyway, I am confused as to how PPI credit card repayments are worked out. I have read numerous threads on this great website and even tried using the spreadsheets! But I am still not sure how they work out interest?? Whats the difference between compound interest and the 8%?

If someone could point me in the right direction or provide me with an 'idiots guide' on this, I would be very grateful.

I look forward to hearing a response.

thanks

[Turboman]

Re: How are credit card PPI repayments worked out

Hi

Loan PPI & Penalty Charges on loans and on credit cards are easy to understand now
You easily get a redress of the payment/penalty + 8% interest on each payment/penalty from the date of the payment to the date of the redress

Credit Card PPI repayments much more complex now since the FSA 10/12 Policy Statement

See--page 115 --see Appendix 2 Example 6

http://www.fsa.gov.uk/pubs/policy/ps10_12.pdf

Give us what you got and me & Bill will help you -- as its bl.oody complex

Turbs

[hills79]

Re: How are credit card PPI repayments worked out

thanks for your reply. My mum cancelled the ppi in 2011 however paid it for 11 years. Her credit card is still active. We dont have any settlement figures yet, but is it worth me inputting all premiums in a spreadsheet, as I have statements dating back to 2000?

thanks again

[Turboman]

Re: How are credit card PPI repayments worked out

if you want to do the job to the nth degree we would need on a monthly basis

• Opening Balance
• Purchases
• Interest
• PPI
• other
• Closing Balance

as we can only claim 8% under certain situations depending on

see first few paras from above link on page 115 re the notional credit card balance

To start with--to see if its worth the effort--give us the yearly PPI paid for starters