Cahoot at it again

grecian9

Unbelievably Cahoot have got even worse. Last year they more than doubled my APR from 6.9% to 14.9%. A few months later they raised it to 15.9 and then 16.9. Yesterday they snuck it up to 17.9%, and have increased the minimum payment to 2.5% this time with the cheek that they are doing it in the name of "responsible lending".

I have done my best to pay of as much of their loan as possible as I'm not in the position to get a new loan. This has put me in difficulties with my current account overdraft instead.

Has anyone had any joy with restitution with Cahoot or does anyone know a cheap way of borrowing £1k? I've already used £1k of interest free Virgin cheques to fund cash to pay Cahoot but not sure where else to go?

Ali_UK

I'm afraid I can't help you - but I too got one of those emails from Cahoot.
Thing is now I can't get funds from elsewhere to pay it off so it's going to take me even longer to get rid of it - I've already scrimped in all possible ways, suppose I could stop eating !

clarab_3

In the same boat - took loan at 6.9% - now up to 17.9% with no hope of moving to an alternate lender.

I am and have been managing my finances well for 3 years now, but it will be a number more until i can get out of this hole and cahoot might blow my chances of doing so at all - seriously cant stand to work many more 60 hour weeks

Neillgb

grecian9 wrote: »

Unbelievably Cahoot have got even worse. Last year they more than doubled my APR from 6.9% to 14.9%. A few months later they raised it to 15.9 and then 16.9. Yesterday they snuck it up to 17.9%, and have increased the minimum payment to 2.5% this time with the cheek that they are doing it in the name of "responsible lending".

I have done my best to pay of as much of their loan as possible as I'm not in the position to get a new loan. This has put me in difficulties with my current account overdraft instead.

Has anyone had any joy with restitution with Cahoot or does anyone know a cheap way of borrowing £1k? I've already used £1k of interest free Virgin cheques to fund cash to pay Cahoot but not sure where else to go?

Is this the Flexible Loan?

Thanks,

Neill

dhassen

I'm on the flexi loan and got the email of doom yesterday. I got the loan in June 06 - the rate was 11.5...... they raised it to 12.9, then 14.9, then 19.9 and now it's on 21.9!!!

I'm going to ring them up to ask why..... almost double the rates in 2 years is a bit much! I found it interesting that last month I payed off 6K of the loan, and now they put the rate up. THought it might be just for me but looks like it's not

Abbey stink

Maybe they need to raise more funds to buy the Alliance and Leicester

dhassen

I just rang cahoot contact centre and can't believe how nice the rep was.... he basically was a human being..... weird.....
He seemed quite honest, and said that the product wasn't very profitable, and they were just trying to eek out a bit more profit from it. Apparently everyone has had their rates brought up - but they are different for different people. He was suprised at how hiigh my rates had gone. The guy didn't try to flog me abbey loan much at all and understood why I wouldn't want to use Abbey ever again lol.
He suggested I use moneysupermarket.com to find a more competitive rate. lol

I'm almost annoyed the guy was so nice.

minimike2

Yes I have the Cahoot fleix loan which started out at 8.9% - mine too was just increased to 21.9%.

Its a shame as its a really useful facility for me being self employed, to help wish cash flow etc. Ive complained on many occasions about thier underhand tactics with thier rate hikes, but always get the same response ... "Like it or lump it".

Its just a shame that there isnt really any comparable product available anymore.

What worries me is how far they think they can go and get away with it. I suspect we shall see more rate hikes before the year is out.

dhassen

don't Egg still do a flexi loan minimike? Not sure, but somone was talking about it in another thread. Might be a better option for you.

I don't doubt cahoot / abbey will keep increasing the rates.... I'm thankful I can pay off the rest of my balance before too long.

minimike2

Im not sure Egg would be too keen on opening new accounts at the moment. I think they are trying to stop a lot of new lending. Seen loads of people with perfect credit refused for mortgages and credit cards with them for no good reason. Might take a look tho, maybe worth a punt!

dhassen

might be worth a shot - I got the Egg Card about 2 months ago......

minimike2

Just looking at it now. Doesnt appear to work in the same way as Cahoot, where you can just drawdown some of your limit at any time, you have to re-apply for it?

Anyone know any differently?

I can repay / drawdown large sums on my Cahoot one a number of times per month depending on what the old cash flow situation is like, so would need that same flexibility. It seems the Egg is only flexible with the repayment of the loan, not drawing it down?