Reclaiming PPI - How to Calculate How Much You Are Owed

The sale of single premium payment protectionneed to combine them and add 8% statutory
insurance is now banned in the UK. The policies haveinterest, as allowed under the law, for each year the
been proven to be horrendously overpriced andloan has been in existence.
severely lacking in real insurance cover. This is theIt does not matter whether the loan is current or
time, if you have been burdened with one of theseredeemed you are still entitled to reclaim ppi.
policies, to reclaim all your money.The only stipulation with a loan which has been paid
To calculate exactly how much you are due is quiteoff is that it has to have been redeemed no later
complex but is worth the effort as it will make surethan six years ago. If the loan was repaid any earlier
you receive the absolute maximum amount you arethan that it will be time barred and excluded from
due.any claims you may feel you have.
As well as the premium itself there are several otherThere are many standard templates and calculators
factors you need to include in the total claim. You arewhich are available online which you can use which will
entitled to reclaim money from the very moment thesimplify the whole process for you.
whole loan came into force and this will dramaticallyOnce you have the final calculation you then need to
increase the total amount which you are entitled to.assemble a letter of claim and present your claim to
These are the key elements that need to be addedthe lenders. Again there are standard letters available
into your equation when you are reclaiming ppi.which you can use for this.
1. You need to find exactly how much you wereThe key to this whole process is to make sure you
charged for the payment protection policy itself. Thisclaim for absolutely everything you are due. Doing it
will be shown on your original credit agreement. If thethis way if the lenders come back to negotiate you
policy is for £1,000: you will reclaim the fullare starting from the highest possible figure.
£1,000. If the policy is for £12,000: youAlternatively if you find the whole process a bit
will reclaim back the full £12,000.daunting there are numerous claims management
2. You will need to calculate how much you havecompanies and solicitors who will undertake the whole
repaid toward that policy. If your monthly repaymenttask for you.
is for £60 and you have paid for 30 months,Just make sure that you do not incur any upfront
you will reclaim £1,800. If your monthlycosts or pay any upfront fees for their services.
repayment for the policy is £100 and youThere is only one side which should be liable for costs
have paid for 4 years, you will reclaim £4,800.and that is the guilty party...the lender.
3. Once you have the two totals from above you