OUR OFFICE
St Georges House, Manchester,
M2 3NQ

Terms of Engagement


About The Free Checking Service


About The Free Check Service: We will offer a free evaluation of your claim(s) and if instructed, pursue your claim(s) for a refund of Payment Protection Insurance (PPI) premiums paid along with any associated interest and a further statutory interest payment at which point these Terms & Conditions will apply.


1. What Red Star Financial Management (the company) Will Do For You:



a) The company will assess your PPI for potential mis-selling. If appropriate The company will pursue on your behalf, a claim for reimbursement/compensation.

b) The company will inform you of any offers that we receive from your lender. 

c) The company aim to provide you with a professional and dedicated service and use all reasonable skill and care in processing your claim. 

d) The company will always act in your best interests in pursuing the claim and obtaining the best results. 

e) The company will assess any offers in accordance with the relevant regulatory body guidelines.
f) Claim(s) relate to the mis-selling of payment protection insurance (PPI) policy on any account, including Plevin Eligible claim(s) related accounts with that company. Plevin Eligible claim(s) means claims relating to the failure to disclose commission charges following the supreme court judgement in Plevin V Paragon Personal Finance Ltd 2014.



2. What The Company Will NOT Do For You:


a) The company is unable to provide advice regarding the potential risk of cancellation of any PPI policy by the lender after any complaint is logged. We do however strongly suggest that you seek alternative protection for any continued credit agreement that you may have where PPI has been applied.

b) The company will NOT give or offer any financial advice. 

c) The company will NOT arrange alternative insurance or payment cover in any such event that your lender may cancel your insurance once a claim is submitted. We must inform you that it is highly likely that your lender will cancel your protection once the company have submitted a claim. We therefore request that you consider this before we submit any claim.

3. What The Company Expects From You:


a) To provide the company with all the relevant information in relation to your claim, including regularly updating the company of any new address/telephone number(s). The information should be accurate and not misleading.

b) To cooperate with the company including sending any relevant correspondence that you receive in relation to your claim, including informing the company of any verbal contact you may receive from a lender. Not providing this information may result in your claim being delayed. 

c) The company will issue Letter of Authority forms to you from time to time. It is important that you return these as soon as possible as some lenders expect updated authority on a regular basis.
d) You must inform the company as soon as you receive any offer of settlement from your lender directly.
e) Should you receive any form of compensation directly from your lender the company will invoice you for the fee that will become due. This will be payable within 14 days of the settlement being made. 


4. Fees:


a)The company will charge 42% inclusive of VAT (the current rate of VAT is 20%, therefore 35% is our fee, the VAT added is 20%, making a total charge of 42% based on current VAT rate) of the total amount awarded to you. Please note, the redress is calculated prior to HMRC’s deduction (HMRC’s deduction only applies to the additional 8% statutory interest). 

b) VAT will be charged on all of the company fees at the standard current rate. 
c) If we find that the amount of undisclosed commission involved in the sale of your PPI policy was unfair, you should receive a refund of any undisclosed commission above 50% along with the interest that you have incurred on this, and in many cases a further interest of 8% on this figure. Fees listed in section4a will still apply.
d) If no award is made the fee will not be applicable.

e) A fee of £10 may be payable by the Client in the event that a Data Subject Access Request is made. 

f) If you fail to pay the balance within 14 days of receipt of payment, the company reserve the right to charge Interest (in line with the Bank of England Statutory current Interest Rate) and Court Fees if necessary.
g) You may cancel this agreement at any time however the company may charge for any work undertaken after the 14 day cancellation period. This will be calculated at £75 per hour.
h) Your lender may decide to re-investigate your complaint. If this results in your claim being upheld, you will still be liable for our fees.



PPI Fees Example



Example A:
Example B:
Compensation includes a future reduction in loan repayments
Example C:
Compensation is used to offset arrears consumer has on credit card or loan

Total Compensation

£3000

Total Compensation:

£3000

Total Compensation:

£3000


Loan Reduction:

£1000

Set of arrears:

£3000


Fees charged @ 35%
£1050

Fees charged @ 35%

£1050

Fees charged @ 35%

£1050


VAT @ 20%

£210

VAT @ 20%

£210

VAT @ 20%

£210


Consumer Pays Firm:

£1260

Consumer Pays Firm:

£1260

Consumer Pays Firm:

£1260


Consumer Is Left With

£1740

Consumer Is Left With

£740

Consumer Is Left With

£0


(But on reduction in load as it is already paid off in full)

(But a reduction of £2000 in future loan installments)

(but a reduction of arrears of £3000 in their outstanding loan)



5. Cancelling This Agreement:


a) In the event that the company cancels this agreement because the claim is unlikely to succeed, no fee will be payable. 

b) There is a 14 day cooling off period in which you may cancel the agreement without any charge.

c) The company may cancel this agreement at any time if there has been a material breach of the contract.

d) In any circumstance other than those described above, the company may charge a fee for the work that the Company has undertaken. 
e) These terms and conditions encompass any number of claims undertaken by the company on your behalf.

f) Cancellation of this agreement by either party must be in a clear statement such as e-mail, letter or telephone conversation. Alternatively you can complete the cancellation form on our website.

g) You may cancel this agreement at any time however the company will charge for any work undertaken after the 14 days cancellation period as explained in section 4.
h) If you cancel after compensation has been awarded the company reserves the right to charge the full fee.
i) If we recover money on your behalf and you refuse to pay our fees, we have authority to validate your application details with Credit Reference Agencies. We also reserve the right to perform a search if you fail to abide by the terms in this agreement which will assist us in recovering fees.


6. Complaints:


a) Whilst the company strives to offer the best possible service, should you wish to complain, details of our Complaints Procedure is available on our website at www.redstarfm.com/complaints

7. Data Protection:


a) Any information you supply will be dealt with in accordance with the Data Protection Procedure and Data Protection Act 1998.


8. Other:


a) You are entitled to seek further advice in relation to your claim. In particular you have the right to shop around and should be aware of services such as the Financial Ombudsman Services. 


(version 3.1)

Start Your PPI Check In Seconds

It Really Has Never Been Easier To Complete Your Historical PPI Search

© Copyright 2017. All Rights Reserved Red Star Financial Management Ltd