How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Alex J. Your Own Question
Alex J.
Alex J., Solicitor
Category: Law
Satisfied Customers: 3840
Experience:  Solicitors 2 years plus PQE
Type Your Law Question Here...
Alex J. is online now

I signed an agreement with a PPI claims company back in

Customer Question

I signed an agreement with a PPI claims company back in 2010. My claims were succesful and i received 3 refunds totally just under £2000.00 i had to pay the claims company 25% plus VAT which i did. I was told that my cases were closed and as far as i was concerned my contract with them had ended. The last contact i had was in 2012.
Last month i got a phone call out of the blue that said one of the companies had done a review of there cases and needed to offer some more money so i would be getting some additional money.
Through the post comes a bill from the claims company for there fee.
In the 3 years since i have dealt with this company i have moved home and got divorced so my name has changed. The loan company sent there new settlement offer to my old address so i am now batteling to try and get the money back.
The claims company are unable to help with this apparently as they will only speak to me directly,although they have sent me a copy of the letter. So i will be doing all the leg work to get this money back.
My query is on the contract and the fee.
They say that because they initiated the claim they can charge the fee, which is correct, however they have done nothing additional to earn this fee in my eye. They didn't chase this review down and they can't help me get the money back. All they have done is received the letter and made a phone call.
My agument is why should i pay this fee, should they not have realised years ago that the money paid was too low and pushed for more at the time so they are infact in breach of there contract?
Since i signed the terms and conditions the VAT rate has gone up and they way the claims are paid has changed. They charge the fee on the full value but i get back the value less the taxes that the loan company take out on my behalf. Is this not a big enough change that the contract has changed and no longer valid?
and last point, i haven't heard from them in 3 years if i was still a valid customer should they not have contacted me in this time to make sure all my details were still up to date? and to check i still wanted to be represented by them. Its only by chance i haven't changed my mobile number within this time.
I actually don't mind paying the fee if i felt like they had done a genuine service but i don't believe they have. At what point does a contract come to an end?
Where do i stand?
Sorry for such a long email.
Submitted: 2 years ago.
Category: Law
Expert:  Alex J. replied 2 years ago.
Thank you for your question and welcome.
My name is ***** ***** I will assist you.
Should they have recovered this money when they initially did the leg work on the first claim?
How much are they claiming?
Kind regards
Customer: replied 2 years ago.
Hi AJ,
That's part of the problem, all the letter says form the loan company is that they have reviewed all the claims going back to 2006 it doesn't say why they have done it so it's not clear if something was missed initially or if things within the industry have changed which prompted the review. I've attached a copy for your reference.
They are claiming 25% plus VAT on the value offered of £4165.02, however this loan was in joint names so i am only entitled to half of this value and tax has been decucted although the fee is on the full figure which i really don't agree too.
When i signed the terms and conditions you had to declare the figure for tax yourself.
I also attached the original T's and C's
Expert:  Alex J. replied 2 years ago.
Thank you.
It will take me a little while to review this so I will revert to you by tomorrow at the latest.
Kind regards
Expert:  Alex J. replied 2 years ago.
Hi, Thank you. I would write back to them as follows:- Say you deny you owe them any further money;- Say that there job was to provide the services and "seek financial redress for mis selling PPI" - say that they have clearly not done this as they negligently missed out part of the claim and the matter was left to you to do all the work to recover the remainder of the money;- Say they should have got this correct first time round but failed to do so;- Say you will treat any further demands from them for money has harassment under S.40 of the Administration of Justice Act 1970 - which is a criminal offence - and if they make any more attempts to profit from you as a result of their negligence you reserve the right to complain to Trading Standards. I look forward to hearing from you.Kind regardsAJ​