Bank does NOT have a Copy of a Loan Agreement, how can this be?

HAVEFAITH

Hi all,

Some advice please.

I took out a Business Loan with one of the big four banks for a substanstial amount (250k) a few years back. It has come to light that there was a discrepancy in the Loan Rate. i.e. base rate + whatever (let's say 1.5 when it should have been 1.0)

I have since asked for a copy of the 'original' loan agreement with the bank and they have given me this answer:

"Sorry the Bank does not have a copy of the agreement. Do you not have your copy?. We do appreciate that this is by no means satisfactory for you.

So my question: Where is my position from here? Can they be reported for this. I am trying to look at an interest recalculation and prove their incorrect figures.

jonesMUFCforever

Well what have you done with your copy?
A loan of this amount is not covered under the CCA so its your word against theirs.

What I would do is do a SAR from the bank specifying that you need to see the notes that your business manager would have made at the time of the loan application.

A loan this big would be secured? does your legal representative have a copy?

simon_templar_2

Customer does NOT have a Copy of a Loan Agreement, how can this be?

Im waiting for the can i get this 250k loan written off question

jonesMUFCforever

simon_templar wrote: »

Customer does NOT have a Copy of a Loan Agreement, how can this be?

Im waiting for the can i get this 250k loan written off question

Yeah could be a dreamer - thank god the schools are back next week!

HAVEFAITH

simon_templar wrote: »

Customer does NOT have a Copy of a Loan Agreement, how can this be?

Im waiting for the can i get this 250k loan written off question

No, the loan has since been paid back! there is a interest rate differential query.

HAVEFAITH

jonesMUFCforever wrote: »

Yeah could be a dreamer - thank god the schools are back next week!

What do you mean my friend!!

HAVEFAITH

jonesMUFCforever wrote: »

Well what have you done with your copy?
A loan of this amount is not covered under the CCA so its your word against theirs.

What I would do is do a SAR from the bank specifying that you need to see the notes that your business manager would have made at the time of the loan application.

A loan this big would be secured? does your legal representative have a copy?

Oh my financial chap has our copy ... he thinks the bank's rate is 0.5 higher. The SAR is a good call. Thanks for that. The first sensible answer yet ... apart from your other one later

bingo_bango

I suspect that the bank can't find the agreement and are hoping you have yours simply so that they can see what the agreement was. Since the loan is now cleared, it would seem they have dumped their copy.

If you are now querying the rates, it may be hard to prove one way or the other. As this was a considerable loan, I would guess that you have an accountant. Do they have a copy? I'd suggest you will have a rough ride trying to claim back any overpayment without proof, just as Jones the Team to be beaten by Everton this weekend fan has stated.

HAVEFAITH

bingo_bango wrote: »

I suspect that the bank can't find the agreement and are hoping you have yours simply so that they can see what the agreement was. Since the loan is now cleared, it would seem they have dumped their copy.

If you are now querying the rates, it may be hard to prove one way or the other. As this was a considerable loan, I would guess that you have an accountant. Do they have a copy? I'd suggest you will have a rough ride trying to claim back any overpayment without proof, just as Jones the Team to be beaten by Everton this weekend fan has stated.

This whole thing was queried whilst the loan was still being repaid, the bank took an age to get back to me. In the meantime as i've said the loan was repaid and a facility loan with another bank was taken out. The bank tells me the loan agreement has been lost internally. So errors were made and they admitted to this. They made an error accruing interest into the loan, as opposed to charging direct from the current account. Resulting in more interest being charged than agreed, thereby putting future loan payments out of line.

So should I request a schedule of loan payments from when the first payment/installent was due?

So an interest rebate is due here, but there is still a discrepancy between what i believe should have been charged above base rate and what they charged me. That is a concern for me ... did they change the documents after i signed them.

jonesMUFCforever

Lets just say we have had 2 weeks school holidays when the number of trolls increase considerably.
Lets put it this way If I borrowed £250k I would not have lost my copy of the agreement.

*Chattie*

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