Outstanding Loan issues after 2 years

charlierevell

Hi All,

I had a loan (which i believe was mis sold with insurance whilst i was at uni! Different story tho!) With Lloyds TSB.

I cleared the loan by cheque in March 2006. I was told the loan was closed, it disappeared from my online services, it shows as closed on the Lloyds systems both on the phone AND in the branch.

However the other day i found an outstanding amount on Experian.
I double checked it was closed and was told yes it is by the branch then got dragged into a Mortgage meeting!

Last week they took £250 from my account (loan amount was always 270)
Now i havent heard anything on this loan since march 2006.
Having been in today I'm told that the £8075 I paid to clear it wasnt enough so it stopped interest and has sat making the payments.
Last week it ran out so now im being charged again.

Where do I stand? I cant see that after 2 years they can just set up a manual payment and take money with NO notification.
They didnt even tell me at the begining that it wasnt enough - yet they showed it as closed!

Any help much appreciated!

jonesMUFCforever

Start by contacting the bank's complaints procedure.

I have seen this happen before where the branch is told one thing but the Personal Loan centre doing another.