Reclaiming initial Admin cost of a loan I applied for but didn't take out

richardsimkiss

Back in October 2003, i was in a bit of a spin and to say the least a bit of a dunce in the world of banking and finance. I was in a mess (this was before my lightbulb moment) and applied for a £2000 loan from "Yes Loans"

I recieved a letter on 31st October (which i still have) to say i'd been successfully accepted as a client. I was then instructed to check, sign and return the proposal agreement form, and enclose a cheque, cash or postal order for the administration fee of £42.50, alternatively I could give my card details.

Without thinking I returned the form with a cheque for £42.50, which was cashed on the 18th November. I remember trying to get through to the "customer care team" but was always on hold and never got to speak to anyone, eventually they turned round and said they can't give me a loan but are passing me over to another company who can accomodate me, a few months on I'd still heard nothing, and decided that I no longer needed the loan, I eventually managed to get hold of them on phone and say that nothing had been done and that I no longer needed a loan and wanted my administration fees back. They fobbed me off saying I was required to wait a certain period of time before I could have it back, stupidly I bought it and have forgotten about it to this very day!

I've got the original letter they sent, a copy of the proposal agreement, and my bank statement showing the £42.50 being paid... I've tried calling them but gave up after being on hold for 15mins.

What would be my best line of approach now? Am I still entitled to this money back? Is there any legal argument I can put across or threaten with to avoid them just ignoring me?

All help much appreciated!

Rich.

Rafter

If you have exhausted enquiries with the company - including in writing I suggest the next thing is to contact your local trading standards office.

R.

brummybloke

the banking ombudsman would be your best bet if they refuse to give you your money back. i would write to them explaining what has happened and include a photocopy of your statements. sed by recorded delivery and include in the letter that you hope to get this matter sorted within 30 days or what ever and hopefully it will be concluded without the need for the banking ombudsman or for you to start charging them for admin costs for each corespondance.