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Free loan confirmed by loan agent in writing..
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tonyinessex
Posts: 518 Forumite
in Loans
Hi,
I am about to buy a car. Carloans4u have offered me a loan for £8050 over 4 years from British Credit Trust for my car, which is (once I confirmed all the details) quite extortionate in way of the APR and charges.
I was confiming some details with the guy from carloans4u about the early settlement figure. On the contract they want me to sign, it says 'Estimated settlement figure payable on the date of the following proportions of the hire period have passed:
One Quarter £6952.39
I pointed out to the guy at carloans4u that this would mean, to settle the loan after a year, I would have paid £10060.39 (£3108 in way of monthly repayments, and £6952.39 for the early settlement charge) and that this was more than what he said would be payable when I was speaking to him on the phone.
He's then obviously got totally mixed up, as he told me that the settlement figure after a year is actually the £6952.39 minus any payments that I have made. I've got him to confirm my email that the settlement figure after a year, would in fact be £3844.39 (£6952.39 MINUS my £3108 of payments).
This means that when I pay off the £8050 loan after 1 year, I would have paid £6952.39 in TOTAL for the whole loan, and I would have a £1100 profit.
My question is: If I write these details on the contract myself, would I be able to hold them to the early settlement figure, or would they be able to wriggle out of it?
Cheers
Tony
I am about to buy a car. Carloans4u have offered me a loan for £8050 over 4 years from British Credit Trust for my car, which is (once I confirmed all the details) quite extortionate in way of the APR and charges.
I was confiming some details with the guy from carloans4u about the early settlement figure. On the contract they want me to sign, it says 'Estimated settlement figure payable on the date of the following proportions of the hire period have passed:
One Quarter £6952.39
I pointed out to the guy at carloans4u that this would mean, to settle the loan after a year, I would have paid £10060.39 (£3108 in way of monthly repayments, and £6952.39 for the early settlement charge) and that this was more than what he said would be payable when I was speaking to him on the phone.
He's then obviously got totally mixed up, as he told me that the settlement figure after a year is actually the £6952.39 minus any payments that I have made. I've got him to confirm my email that the settlement figure after a year, would in fact be £3844.39 (£6952.39 MINUS my £3108 of payments).
This means that when I pay off the £8050 loan after 1 year, I would have paid £6952.39 in TOTAL for the whole loan, and I would have a £1100 profit.
My question is: If I write these details on the contract myself, would I be able to hold them to the early settlement figure, or would they be able to wriggle out of it?
Cheers
Tony
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Comments
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I think the guy is getting mixed up. I really wouldn't get involved in a loan of this type. Better trying to find yourself a loan with better terms and conditions. One where you know exactly what you are repaying.Jan 1st 07 Car loan £4830.46@12% Personal Loan £11,517@8% variable Overdraft £1500 July 2009Halifax-£0Debt free date 14th July 2009 :j0
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No its very unlikely this would stand up if you simply write them on a contract as they would not have signed the agreement with your amendments.
Whyever are you considering taking out a loan at such high interest rates ? Have you tried you bank or considered buying a cheaper car.0 -
I was only considering their offer, as I had writted confirmation that I would earn over £1k from them, with no interest...
It just goes to prove these sales guys are either unscrupulous gits, or just stupid. Both, methinks.. He totally mislead me with the rate at first too. He told me 12% interest, but later on I found out that most of these car loan places deal in flat rate interest, with I had never heard of.
It's ok, I have got a loan agreed with yesloan now at 12% APR, which is much better. I can easily afford it, so don't worry, I won't be posting to this site in 12 months saying I have loads of charges I need to reclaim, etc..
I work for an ISP, and I know if any of our customers write something on a contract, or if someone from our company confirms something in writing, we have to honour it.. How comes this is different?0 -
Because this guy who is selling you the contract won't let you write what he says in the contract unf. He obviously just doesn't understand the product he is selling.
My parents had a similar experience this year when buying a new car. They had the money upfront to buy the car and the salesperson said that they would be better sticking it in an ISA and taking out the finance deal offered. I looked through the contract with them and they would have been getting themselves involved in a horrendous deal.
I got my carloan at 8% APR with RBS. Have you tried other companies to see if they'll give you a better rate?Jan 1st 07 Car loan £4830.46@12% Personal Loan £11,517@8% variable Overdraft £1500 July 2009Halifax-£0Debt free date 14th July 2009 :j0 -
Yeah, I've shopped around, I have a few defaults and a CCJ from 5 years ago, so I think 12% is the best I am going to get.0
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Sales people get high commision for selling finance with cars!
Dont let them sell you it!0 -
Im SO glad i found this thread.... a lady I work with has just had a car loan from these people and she was encouraging me to have one as well.... I will try and find some other way I think...BOI Credit Card = Was £3500.00 Now £0.00
GE Capital Store Card= Was £1800.00 Now £0.00
GE Capital Store Card = Was 1300.00 Now £0.00
Credit Union Savings Now £200.00 :T0 -
Be wary of CarLoans4U. About 2 years ago they offered us finance - emailed through contract and I saw PPI had been added. I phoned them up and asked for it to be removed, they were not keen and said the lender needed us to have it. I refused and said it was optional so why should we 'have to have it'. The guy phoned me back and said OK we can have loan without PPI and emailed through new Credit Agreement to sign. On looking at it I realised that yes the PPI had now been removed but the APR % had been increased. Again I went back and said we had been offered the Loan with x APR why have they now increased it??? Apparently because no PPI means higher APR. Sigh - so again I argued and refused to sign unless we received Credit Agreement with original APR offer and no PPI. Eventually they agreed. This saved us about £35/month over 48 months (total saving: £1680). You really need to watch what you are signing every step of the way.:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j0
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Does anyone know what carlaons4you are really like, as i am looking for a loan for £90000
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bct will reject an altered contract0
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