Welcome to the forum Bella1201.

This subject has arisen here quite a few times.

RBS seem to have formed a view that the completion of your trust deed eliminated their liabilities to you as well as yours to them. Therefore they're choosing not to pay out in these circumstances.

We don't think this position has been tested in court, and we cannot offer you legal advice.

You might want to ask the Financial Ombudsman to make a ruling, but this may take some time and we've heard nothing to suggest the ruling will go your way necessarily.

You could also take legal action, but this could be prohibitively expensive and comes with no certainty of winning.

Hi TDA

I think the stance taken by RBS and some other banks is that the individuals liability for the debt dies on discharge, but not the debt and they are off setting any PPI against the debt.

We have a number of Trust Deeds where RBS have reduced their claim by the PPI amount, however benefited from dividend payouts where other banks have paid PPI into the Trust Deed.

Mark

Thanks Mark.

What's interesting to me about that position is that there appears to be a clear expectation that banks reduce the balance owed by a client to zero (on a credit report) once that client has been discharged from their trust deed.

I'm surprised that no one has taken tis further and challenged it in court.

I remember hearing there may be a combined action against RBS, but nothing seems to have come from it.

Mark

People are still licking their wounds and generally not proud of the choices they had to make.
The thought of pushing out independently, taking on the time, cost and exposure in an area not even professionals can be sure of a result in may just be an unattractive venture.

Large organisations 'get away with' mistreatment of their customers because to challenge them is uncertain,embarrassing, time-consuming and expensive.

Not really surprising there's a shortage of champions for the cause?

Thanks for the feedback. I've contacted the financial ombudsman and have been advised to complain first of all to the bank and then if nothing comes of it to contact them again to officially log a complaint. I'm not holding my breath for the bank to back down on this though, we'll wait and see #128544;

Just my tuppensworth,

I have also been down the TD route and completed a 3 year bread and water course. My views are how ever a little different from others unless someone can change them. When I signed the TD there was no doubt in my mind that I wanted nothing more than to relinquish the debt that was hanging over me. So basically in lay man terms I took debt on, spent the money and didn't pay back the agreed sum over the agreed term. After signing the TD the debt and everything that was attached was no longer my issue.
I do not think that anyone is entitled to any compensation from a mis-sold PPI if they have not fulfilled the loan agreement.

just my thoughts.

Hi Greggy

That's a fairly logical view. I think most people's concerns is that there is no set way these things are dealt with and there are other associated issues. My big moan ( and trust me i can moan )is that RBS benefit from other bank's PPI payouts in Trust Deeds while totally looking after themselves in cases involving them.

Mark