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    • Unsecured&confused
    • By Unsecured&confused 27th Nov 17, 3:13 PM
    • 10Posts
    • 1Thanks
    Unsecured&confused
    Unregulated Secured Loan
    • #1
    • 27th Nov 17, 3:13 PM
    Unregulated Secured Loan 27th Nov 17 at 3:13 PM
    Been going around in circles for years trying to find an answer to this - wondered if anyone at all on here can help me?
    We have an old unregulated loan (originally Picture Finance) which was secured on our property. Like many back then (2007), we were extremely vulnerable financially and had no idea what 'unregulated' meant. We soon came to learn that it means that the loan company can actually do whatever they want, and we have absolutely no protection whatsoever.
    Rates rose when the base rate did, but never came down when it reduced. We were encouraged to borrow more than we wanted on a house valuation which it was never going to achieve. Also sold us PPI (since reclaimed) We never received any loan statements. Or settlement figures when we asked for them (this is a CCA breach in itself).
    Long story short, we actually sold the house 2 years ago, 8 years into the 25 year loan term. The sale did not settle the mortgage and the loan, leaving us with a balance of £60000 still owing, which Idem (the current owners of the debt) very kindly let us take with us to our new 'home' as an 'unsecured loan' (no new agreement received). We were not allowed to keep any proceeds out to put a deposit on a new house, so we had no alternative but to rent.
    Idem were strangely 'co-operative' throughout the whole sale process (I suppose they would be as they were getting a £23k bulk payment from the sale?) and seemed very keen to not be seen to be putting us in 'financial hardship' (their words). Problem is - they are. We are now effectively homeless, and despite good wages, cannot now get a deposit together for a house as we are paying rent and substantial monthly payments to them.
    We did offer them a full and final settlement a few years ago - so tried that one - they didn't accept. But we have never missed a payment so they won't will they?
    Now don't get me wrong, I accept that we borrowed the money, but I do believe we were taken advantage of by being sold an unregulated loan, so we appear to not have a leg to stand on regarding unfair interest, mis-selling or poor account admin .
    I have been down every single route time and time again - not regulated as taken out Sep 2007 and over £25k (April 2008 and it would have been Regulated!). So FOS don't want to know. Anyone know if covered by CCA or governed by OFT? - Can't seem to find a definite answer.
    Sorry for the long post but just desperate to know if anyone can help out - thinking I now need advice from someone a bit more legal minded?
Page 2
    • Unsecured&confused
    • By Unsecured&confused 28th Nov 17, 11:57 AM
    • 10 Posts
    • 1 Thanks
    Unsecured&confused
    If they had originally turned you down for a loan, what would you have done? As much as you say they took advantage of your "vulnerability", you are an adult and have some responsibility in this. No one forced you to take any loan. You were quite happy to take the money and spend it at the time. Sorry to be so blunt but it's not all the fault of the loan company here.

    If you really believe you have been treated unfairly, then take them to court and convince a judge.
    Originally posted by camelot1971
    I really really wish they had turned me down. We would have really struggled short term, but, for example, the balance on my car finance would have been paid off 8 years ago instead of still paying for it now. I would probably still have a house. I know I signed it, I'm not disputing that it was a stupid thing to do - but I was convinced by them that I was doing the right thing at the time. I am not asking to be 'let off' what I owed, just that they accept a bit of the responsibility for what I now consider to be 'irresponsible lending' and compensate me for this in some way.
    • camelot1971
    • By camelot1971 28th Nov 17, 4:02 PM
    • 550 Posts
    • 861 Thanks
    camelot1971
    I really really wish they had turned me down. We would have really struggled short term, but, for example, the balance on my car finance would have been paid off 8 years ago instead of still paying for it now. I would probably still have a house. I know I signed it, I'm not disputing that it was a stupid thing to do - but I was convinced by them that I was doing the right thing at the time. I am not asking to be 'let off' what I owed, just that they accept a bit of the responsibility for what I now consider to be 'irresponsible lending' and compensate me for this in some way.
    Originally posted by Unsecured&confused
    I can appreciate this is not easy for you. You really need to get legal advice rather than from people on the internet. A solicitor will tell you fairly quickly if you have a case or not. Good luck!
    • Tarambor
    • By Tarambor 29th Nov 17, 11:34 AM
    • 1,740 Posts
    • 1,194 Thanks
    Tarambor
    I'm not disputing that it was a stupid thing to do - but I was convinced by them that I was doing the right thing at the time. I am not asking to be 'let off' what I owed, just that they accept a bit of the responsibility for what I now consider to be 'irresponsible lending' and compensate me for this in some way.
    Originally posted by Unsecured&confused
    It wasn't irresponsible lending. You told them you could afford it. They went on what you told them. There isn't compensation for taking stupid decisions.
    • iolanthe07
    • By iolanthe07 29th Nov 17, 3:04 PM
    • 4,923 Posts
    • 4,636 Thanks
    iolanthe07
    It wasn't irresponsible lending. You told them you could afford it. They went on what you told them. There isn't compensation for taking stupid decisions.
    Originally posted by Tarambor
    I think that is a bit harsh. The ads for these loans were very alluring and I can quite understand someone in a bit of a financial hole falling for them. As always, reading the small print is never a waste of time, and if you don't understand it, show it to someone who does.
    I used to think that good grammar is important, but now I know that good wine is importanter.
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