Can refund of PPI premiums and interest be forwarded directly to a collection agency?

[enaid]

Re: Can refund of PPI premiums and interest be forwarded directly to a collection age

Ok I take it that are you speaking to them as yourself and not on behalf of LB. I think it might be an idea to say who you/we are and that we'd like to know in order to advise people asking the question.

Do you want me to draft something up?

Please you know me writings not good,, mind you next to that lot I feel like bloody mastermind

My opinion they are feared of putting it in writing

[EXC]

Re: Can refund of PPI premiums and interest be forwarded directly to a collection age

My opinion they are feared of putting it in writing

Dead right and thinking about it they're never going to comit anything meaningful in writing. So I'm thinking the best way of approaching this is to do an FoI asking for any policies, guidance that they issue adjudicators and any case studies that deal specifically with the issue of set off on assigned debts.

[enaid]

Re: Can refund of PPI premiums and interest be forwarded directly to a collection age

Well I really think it needs putting to bed, I have read that many different opinions on it, some even saying its illegal (theft) but nothing to justify it.

We take into account the law, which allows people to “set off” closely connected debt

They state they use the law but do not bother to say which law.

[EXC]

Re: Can refund of PPI premiums and interest be forwarded directly to a collection age

Ok leave it to me.

[leclerc]

Re: Can refund of PPI premiums and interest be forwarded directly to a collection age

Dead right and thinking about it they're never going to comit anything meaningful in writing. So I'm thinking the best way of approaching this is to do an FoI asking for any policies, guidance that they issue adjudicators and any case studies that deal specifically with the issue of set off on assigned debts.

Hang on a bit, the FOS does have this bit on calculating PPI(you need to scroll down quite a bit btw): http://www.financial-ombudsman.org.u...i/redress.html

If memory serves me right, the start of this thread was about debt being sold on so perhaps this applies:

"But if the debt was sold on to a third party and it cannot be bought back, or the business chooses not to buy it back, we might take a slightly different approach. That is because the consumer does not owe the business money – it owes money to the third party that bought the debt instead. When selling the debt the business made a commercial decision and accepted an agreeable price for the debt. In those circumstances, we would usually tell the business to calculate the compensation as normal at the point it sold on the debt – and to pay all parts of the compensation to the consumer. The business should also consider the possibility that the consumer might have incurred further losses since the debt was sold on as a result of PPI being included on their debt."

Any good?

[enaid]

Re: Can refund of PPI premiums and interest be forwarded directly to a collection age

we might take a slightly different approach

This is the problem to me, nothing concrete, they can please themselves how they treat it and it should be black or white.

[EXC]

Re: Can refund of PPI premiums and interest be forwarded directly to a collection age

Hang on a bit, the FOS does have this bit on calculating PPI(you need to scroll down quite a bit btw): http://www.financial-ombudsman.org.u...i/redress.html

If memory serves me right, the start of this thread was about debt being sold on so perhaps this applies:

"But if the debt was sold on to a third party and it cannot be bought back, or the business chooses not to buy it back, we might take a slightly different approach. That is because the consumer does not owe the business money – it owes money to the third party that bought the debt instead. When selling the debt the business made a commercial decision and accepted an agreeable price for the debt. In those circumstances, we would usually tell the business to calculate the compensation as normal at the point it sold on the debt – and to pay all parts of the compensation to the consumer. The business should also consider the possibility that the consumer might have incurred further losses since the debt was sold on as a result of PPI being included on their debt."

Any good?

Yes that's useful, nice find. Obviously ''it cannot be bought back, or the business chooses not to buy it back'' is a bit wooly and not something a consumer could easily establish but better than nothing I spose.

Still it establishes the general principle that a firm can't set off against a debt they don't hold which is what we thought.

I'll whack off the FoI anyway.

[enaid]

Re: Can refund of PPI premiums and interest be forwarded directly to a collection age

Stinks very much of a back hander system, sell the debt for small percentage, get it written off for tax purpose so basically they don't lose out massively. Then they get the nod from the DCA buy it back and use the comp to clear or deduct from the debt.
Not a bad little system when they were the wrong doers all along.

[leclerc]

Re: Can refund of PPI premiums and interest be forwarded directly to a collection age

Stinks very much of a back hander system, sell the debt for small percentage, get it written off for tax purpose so basically they don't lose out massively. Then they get the nod from the DCA buy it back and use the comp to clear or deduct from the debt.
Not a bad little system when they were the wrong doers all along.

I got timed out earlier but that is EXACTLY what I was thinking. That one firm who has a business interest with another one ie buying it's debts then gives any PPI misselling refund to them.

Do we have any figures of how much PPI claimed by consumers goes into the hands of a Debt Collection Agency's hands? Does any Debt buyers have a financial interest in PPI claims companies?(horribly off tangent so sorry)