Hope someone can help

samuela66

Hi,

My friends boyfriend just took a loan of £19,000 with Barclays, my friend told him not to get the PPI but when he went on his own he got talked into it, so today they called in to cancel this, they said they could cancel but they would have to take a new loan out and the rate for the new loan would be 14% and not 8% like they have, they thought it would be okay as they where in the 30 day period.
Is this right was Barclays are claiming,
:mad:
many thanks in advance.....
Sam

di3004

samuela66 wrote: »

Hi,

My friends boyfriend just took a loan of £19,000 with Barclays, my friend told him not to get the PPI but when he went on his own he got talked into it, so today they called in to cancel this, they said they could cancel but they would have to take a new loan out and the rate for the new loan would be 14% and not 8% like they have, they thought it would be okay as they where in the 30 day period.
Is this right was Barclays are claiming,
:mad:
many thanks in advance.....
Sam

Blimey, this is awful, they should not be stopping him from doing this !

Yes he can cancel and now would be the best time in the cooling period.

I would also tell them to contact the CAB (citizens advice) for ASAP who will also confirm this, tell him to get back to Barclays and he has received advice that he can do this and this also states he can do this on his terms and conditions.

As he is young, I think they are trying to fob him off, so he needs to get back to them and tell them he is in his own right to do this as the 30 days are not over yet, and even if he decided to do this after the 30 days he can still cancel but then he has to be careful he is not penalised for doing this.

Please let us know how he gets on hun thanks.;)

Di.
x

samuela66

Just to explain myself a bit better, he only went in to cancel the PPI which was £65 a month not the loan, they said he had to cancel the loan and take the extortionate one out.....

Rafter

Sam,

BARCLAYS ARE BREAKING THE LAW!

If he has signed a loan agreement with one APR they cannot withdraw that simply because he has declined the PPI.

Otherwise the APR is conditional on the PPI and would have to include the interest charge and they are breaching all sorts of selling and advertising rules.

He should go in, demand the insurance is cancelled and the original APR honoured and if not start shouting about how they are breaking the law and that you will be on to the insurance ombudsman service if they do not honour their original agreement.

That should get matters resolved.

However, the easier way is to get the loan money (unless he has it already) then simply call up and cancel the PPI within the calling off period. They cannot legally reschedule the loan or change the rate when doing this.

Good luck to your friends boyfriend.

R.

di3004

Sam I agree with Rafter here, they are breaking the law.

Now is the right time for him to do this because it will be before they take out the next payment, whereas no new loan arrangements would be made at this time but I think would be after the cancellation period.

He should tell them he has had some advice about this and if they do not do this then it will be taken further right now.;)
Good luck from me too and if you require further info for your friend's boyfriend, please don't hesitate to post again.

I know he has tried but he needs to try this again before the cooling period ends.;)