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Aaron D
Aaron D, Barrister
Category: Law
Satisfied Customers: 572
Experience:  LLB, BPTC
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I have had a PPI refund from HSBC paid into my account on

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Hi, I have had a PPI refund from HSBC paid into my account on 22nd April. I had previously requested a company to claim for me but I received correspondence from them in January saying they were closing the claim as there was nothing further they could do. I received a letter beginning of May stating they could claim again, enclosing a form to sign. I called them and told them to close the claim as my bank had already paid me my refund. I have now received a letter, dated 27th May, which arrived on 2nd June, asking for their commission to be paid for compensation recovered, telling me I have to pay within 14 days of receiving the money. It doesn't add up to me. There was over 5weeks between me getting the refund from HSBC and the company writing a letter asking for payment. There was also a period of about 3 and a half weeks between me cancelling the claim and this letter being written. I am doubtful as to whether I should pay them as it seems the bank paid it anyway and they are just jumping on the bandwagon. What do you think?
JA: Where are you? It matters because laws vary by location.
Customer: Slough, in Berkshire and the company is based in Newcastle
JA: What steps have you taken so far?
Customer: I haven't called them yet or sent a cheque
JA: Anything else you want the Lawyer to know before I connect you?
Customer: I don't think so, thank you

Hello, thank you for your question. My name is***** am a barrister and will assist you with this issue today.

Please be aware that this is an e-mail service rather than a live chat. Sometimes there will be some delay between responses but I will try to reply as soon as possible.

Customer: replied 1 year ago.
Thank you

You will need to check the terms and conditions of the contract you signed with the PPI company. Often there is a clause to say that if you take over and make a claim yourself they are still entitled to their "share". They do this because people try to use the PPI companies to find claims for them and then "sack" the company and do the claim themselves.

What you need to determine is exactly at what date the bank decided to pay you out and what prompted them do so? I.e. was it a delayed response to the original letter from the PPI company.

Customer: replied 1 year ago.
Oops. Cancel call as funds are a bit low

I see you've requested a phone call, I can speak if you wish but I can help you on here and that way it won't cost you any more money.

Yes, that's fine - I haven't accepted the call so you won't be charged.

So on from my previous message. If you contacted HSBC yourself to make a claim and it is after you ended your contract with the PPI company then their claim might be invalid.

It all comes down to the terms and conditions you signed up to.

If the PPI company want to pursue this they would have to take you to the County Court by issuing a Small Claim. They would have to prove that you are contractually obliged to pay them.

Customer: replied 1 year ago.
I no longer have the paperwork and their website is not secure.***@******.***. Do I need to ask the bank if they were prompted to pay by me or the PPI company?
Customer: replied 1 year ago.
Maybe I could ask the company to send me a copy of their terms and conditions.

Send them an e-mail and ask for a copy of your contract. If they want to pursue you for the debt then you will have to produce it at some point.

Did you ever pursue a claim yourself? I.e. did you actually write to HSBC asking to claim?

Yes if you can get through to HSBC and get them to reply in writing then that would be helpful.

But - you still need to review the Ts&Cs you signed up to with the PPI company.

Customer: replied 1 year ago.
Ok thank you

According to their website it says this:

Terminating this Agreement:

You are entitled to cancel this agreement at any point within 14 days of signing it and incur no charge. In addition, even after the 14 day cooling off period, you are entitled to cancel this agreement at any point and will incur no charge unless your Lender has offered a financial benefit. If you cancel after your Lender has offered a financial benefit our charges remain 24% (inclusive of VAT) of the financial benefit.

So the question is whether HSBC offered you the compensation before or after you cancelled with the PPI company.

Still - I'd request a copy of your contract to be sure.

I hope this helps, if you can please accept my answer and rate me 5 stars (in the top right of your screen) then Just Answer will credit me for helping you today.

I will remain available for any follow-up questions.

Aaron D and 3 other Law Specialists are ready to help you
Customer: replied 1 year ago.
Thank you. I will email the bank