AA no longer lending????

stu68

Hi,

I applied for a AA personal load a few weeks ago but never got around to sending back the documents and I also wanted to check out a couple of things on the AA site. I looked high and low and could not find a link on the AA site to their loans page so I rang them up and was told they no longer do loans?? Was this known to be happening? As it was not mentioned to me when I applied.

Thanks

Rafter

AA just allowed their name to be used. It was always HBOS (Halifax Bank of Scotland) doing the lending behind the scenes.

I guess they are just changing their strategy now they have been rescued by Lloyds, and Lloyds would rather lend itself direct or via Black Horse and didn't renew the contract with the AA?

R

melorablack

The AA department of HBOS have been closed down.

Bob_the_Saver

Do you think Alcoholics Anonymous would lend me enough for a pint?

jona26

Hi, just to let you know that AA have stopped lending at the moment as their contract with HBOS is coming to an end and is not being renewed. They (AA - not HBOS) are currently deciding whether to resume lending with a new partner or stop altogether.

It has nothing to do with Lloyds integration.

HBOS are still lending in their own right as well as with other partners such as Sainsburys and Home Shopping.

Existing loans will continue to run and be serviced as normal by HBOS on the normal telephone number.

The AA are not looking for customers to settle their loans early and are not offering special deals for customers settling early.

Existing customers will not be offerred further finance proactively but if the customer requests it a new loan can be processed, however rates are likely to be higher than in the last few weeks and acceptance criteria much tougher.

The AA have been responsible for setting their own (reasonably low) interest rates and have always gone for numbers of customers rather than quality business and as such they have relatively high levels of bad debt compared to some of the other HBOS partners - this may have had an effect on the decision.

The AA department at HBOS has not been closed down however there will be job losses but many staff are being offerred jobs locally elsewhere within HBOS.

Hope you find this useful!