BOE cut to o.5%

Uncle_Rico

dervish wrote: »

no thats SOCIALISM and communism you are thinking of.

Capitalism rewards hard workers

I take it nursing home staff and the like are not hard workers then?

rosemahairy

Hi
Please help, I am looking into this for my mum. She took out a loan in June 2007 which was a tracker rate mortgage which i am advised by them is predominately based around the LIBOR. Since June 07 the interest has only risen, never fallen. I have researched the libor rate and overall its fell hugely in the last 2 years. Swift wont pass on the savings and are making excuses, anyone know where you stand with this? The terms and conditions show the loan is a tracker but swift have the right to decide on the interest rate fluctuations. Its such a con what can i do? Is there anyone who ou can complain to about all this?

Help Please

StevieJ

Surely it is based on a formula What do the T&C say exactly?

Dan:_4

rosemahairy wrote: »

Hi
Please help, I am looking into this for my mum. She took out a loan in June 2007 which was a tracker rate mortgage which i am advised by them is predominately based around the LIBOR. Since June 07 the interest has only risen, never fallen. I have researched the libor rate and overall its fell hugely in the last 2 years. Swift wont pass on the savings and are making excuses, anyone know where you stand with this? The terms and conditions show the loan is a tracker but swift have the right to decide on the interest rate fluctuations. Its such a con what can i do? Is there anyone who ou can complain to about all this?

Help Please

Swift are sub-prime lenders who specialise in secured lending for those with poor credit history, CCJs etc. If the loan is over 25K it is not regulated, so they can, unfortunately, charge what they like as the loan will be variable.

rosemahairy

StevieJ wrote: »

Surely it is based on a formula What do the T&C say exactly?

The loan agreement says 15.27%variable. On the back in the T and cs it says " we have the power to change the rate of interest we charge under this agreement to reflect a change in the cost of our funds. We ma use that power by giving you at least 14days notice in writing. The change will apply from the date shown in the notice, which will also tell you why the cost of our funds has changed"

Shocking eh it may as well say we can do what we please and charge you 999% in 2 weeks because i want a bonus lol. I have a letter from them stating also that the variable is based on swifts borrowing "1. how much to borrow from other banks (libor broadly it explains) 2. cost of holding our own capital and liquidity"

This to me is unreasonable and unfair. What can we do?

rosemahairy

Dan: wrote: »

Swift are sub-prime lenders who specialise in secured lending for those with poor credit history, CCJs etc. If the loan is over 25K it is not regulated, so they can, unfortunately, charge what they like as the loan will be variable.

Thanks. The loan is for 15000 plus ppi and interest (i am claiming the ppi back) Total amount payable including ppi and interest etc is only 22913.64??? Does that mean i can do something

StevieJ

That is shocking for an asset backed loan, my credit card rate is less than that :eek: I always pay it off BTW :rolleyes:
You know how much is to be paid back, does this mean it is a fixed rate? I am confused.

Dan:_4

rosemahairy wrote: »

Thanks. The loan is for 15000 plus ppi and interest (i am claiming the ppi back) Total amount payable including ppi and interest etc is only 22913.64??? Does that mean i can do something

As the loan is variable, there is little you can do I'm afraid.

The only thing I can suggest is to look at transferring it to a proper personal loan, maybe try your bank in the first instance. Payments will be fixed, likely to be payed of quicker and it will not be secured on the property.

How long is the loan over?

It may be an idea to post this on the LOANS board also, the folk over there no there stuff when it comes to T&C etc.

Dan:_4

StevieJ wrote: »

That is shocking for an asset backed loan, my credit card rate is less than that :eek: I always pay it off BTW :rolleyes:
You know how much is to be paid back, does this mean it is a fixed rate? I am confused.

I know, absolutely shocking isn't it. I recently discovered a friend of mine had taken out a FirstPlus secured loan for 10K. Started off at 7% (to get you to sign the papers) then quickly rose to 17% over the next few months. Plus it would have taken something like 15 years to pay off.

We managed to spread the 10K over 2 0% Credit Cards and the debt will be payed off in 18 months.

They are nothing more then legal loan sharks, who pray on the weak minded.

rosemahairy

now i am confused its over 20years. The total payable must be an estimate if is variable rate eh.Bee jesus as the irish would say we have been had!