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PPI Claim

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Snorvey
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PPI Claim

#252686

Postby Snorvey » September 19th, 2019, 12:39 pm

Afternoon all

I have a friend who, in his adult lifetime, accrued a fair bit of debt across loans, overdrafts, cards etc. Happily, after many years of struggling' he's back on track.

Alerted by the PPI deadline, he thought he'd check out whether he could make a claim and contacted a well known PPI claims company.

They have comeback to him and told him that he has a valid claim of £x and they will sent out the appropriate paperwork in the next 10 days for him to sign to progress the claim.

The claims company's fee is an eye watering 40%*.

What the claims company did say was that you could take the claim directly to the lender himself and avoid paying the fee (I thought it strange they would cut themselves out, but never having made a PPI claim before, I guess they have to?)

Is 40% normal? It sounds painfully high. I always thought it was around 25% (which is still high!).
Is there room for negotiation with the PPI claims company?
I take they will just be sending him an agreement for them to progress the claim(s). It wont actually contain any details of the lenders (it could be several companies knowing some of his history)
Finally, given that the claims deadline has passed, if my friend was to 'go direct' would this still be within the cut off dates? I'm assuming he would then have to contact all the lenders directly himself to request all the paperwork (I can't imagine the claims company would forward on the information they have on file)
Could he go to another claims company whilst the claim(s) are still 'live'
Any other suggestions?

Many thanks in advance.

*I'm not against companies charging a fee for work done btw and my friend isn't trying to deprive them of they money - but 40%? I mean, come on!

ReformedCharacter
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Re: PPI Claim

#252699

Postby ReformedCharacter » September 19th, 2019, 2:02 pm

Snorvey wrote:
The claims company's fee is an eye watering 40%*.

*I'm not against companies charging a fee for work done btw and my friend isn't trying to deprive them of they money - but 40%? I mean, come on!


Can't answer your other questions but I've been helping a friend make a claim about his pension. He heard an advert by Goodwin Barrett on the radio and called them. They also said a fee of 40% would be incurred, he declined their help.

RC

Loup321
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Re: PPI Claim

#252718

Postby Loup321 » September 19th, 2019, 4:45 pm

60% of something is better than 100% of nothing. Given it's taken him until now to do anything about it, I wouldn't expect him to pursue it himself. Also, the companies involved may say that the deadline has passed, and the claims company could only get something because he put in a claim with them before the deadline.

I also thought the fee was about 25%. Maybe the claims companies have steadily increased the fee. After all, the people who REALLY wanted the money back did it themselves as soon as they knew they were entitled to. The ones who are only just starting a claim now aren't all that bothered about the money, so the claims companies are having a go at charging more.

He could try calling them and saying "My friend used a different claims management company, I forget the name, and they only charged 25%. I'll ask him for their number," and see if there is any room for negotiation.

dealtn
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Re: PPI Claim

#252934

Postby dealtn » September 20th, 2019, 5:46 pm

Snorvey wrote:
I have a friend who, in his adult lifetime, accrued a fair bit of debt across loans, overdrafts, cards etc. Happily, after many years of struggling' he's back on track.




Was he struggling because of loss of job, income etc.? Seems if that was the case he should have claimed on the PPI. If he claimed, but didn't qualify, then that is almost in itself an admission of "mis-selling", so not sure why he would need a claims company when he could do it himself and re-approach the financial institutions themselves.

If he successfully claimed on PPI then surely he isn't entitled to compensation for mis-selling, although nothing seems to surprise me anymore.


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