Welcome Finance - any advice?

worriedtooyoung

I applied for an extension to my current loan with Alliance and Leicester to sort out my credit cards and a small loan I had which was costing me a bomb!

Alliance and Leicester refused me the top up but passed my information on to a company called Welcome Finance who offered me the loan. £7000 at 36 months at £298 per month. Which I don't think is too bad I've been quoted worse and its saved me £100 per month and cut my debt time by 2 years!

However...... I signed the agreement on 15th Dec, received the money on the 17th Dec but then received a letter on 20th December to say that the first payment would be coming out on 27th December although the agreement clearly states 1 month from the date of agreement.

I contacted them straight away, they said the letter was wrong and that nothing would come out. Any problems to call them back... well you can see where this is going can't you!
As it was the Christmas period, I had no luck and still till this day I have had no luck getting this sorted. I have called them just to be put through to various departments. I have written letters and now its come to a point where I can't get through and need to change the payment date cos I don't get paid until 30th of each month and they come out on 27th.

In addition to all this, I have online credit file checking and it says on there that I need to pay 37 payments and has no record of the payment I paid in December?

Is it me or is this against the law? Anyone able to give me some solid advice to fight back at them with.

Please help!

iolanthe07

Welcome Finance are best avoided at all costs. Just look at some of the dozens of posts on this board about them and you'll see why.

worriedtooyoung

...... Also has anyone else heard about the £99 charge? I paid £99 in admin fees for the loan? Anyone else had this?

Was this legal???

Sol00

This is difficult as you don't want to ruin your credit rating.

What I would do is cancel the direct debit and phone them to make payment by card on the 30th. Then write a letter and send it recorded delivery to their head office advising of the problems and that the branch haven't helped you.

Welcome are a rubbish company and they lie repeatedly, so you need to take control.

iolanthe07

...... Also has anyone else heard about the £99 charge? I paid £99 in admin fees for the loan? Anyone else had this?

Was this legal???

It is legal, AFAIK, but unnecessary and dodgy. No decent lender or broker will ask for a fee up-front. Never pay one. They must be in trouble - the fee used to be £49.00

worriedtooyoung

Don't know whether its good news but I actually got through to Welcome Finance :eek:

I was put through to 3 departments, then asked to fill out a complaints form.
They said they have changed my payment date to 30th, and that one of them will phone me back in 48 hours to refund the money which they admit they should not have taken on 27th Dec.

So good news or not not sure but either way I have now 3 numbers to try to get through to Welcome Finance - but one thing I would say from this experience if I have any more problems I'm going in person to cause problems!!!

nomoneytoday

worriedtooyoung wrote: »

£7000 at 36 months at £298 per month. Which I don't think is too bad I've been quoted worse and its saved me £100 per month and cut my debt time by 2 years!

Are you sure? £298 a month is £10728 or 35% odd APR

The costs of your old loan must have been through the roof to save £100 per month AND knock 2 years off the period...

Good luck with it anyway