Central Trust Secured Loan - asking us to move the loan to another provider!

SkintFlint73

We have a £10k loan with Central Trust which we have been paying for a couple of years, never missed a payment.

They have recently written to us 'suggesting' we move the loan to another provider because they 'may have to increase our rate to reflect their increased cost of borrowing'.

Are they just trying to scare us, or will this happen? Can they do that?

We're not in a position to move the loan. I had a good credit history until a year ago when I got a CCJ. I'm not sure if I try to move the loan, that I will be able to because of the CCJ.

Help!! :mad:

jonesMUFCforever

If you are paying on time there is nothing they can do to make you move the loan - BUT they can vary the interest they charge.
Seems to me they are pulling out of this particular market - perhaps you can ask them who they can suggest for the transfer.
Also I would suggest a visit to a loan broker (beware they are not the kind that charge a fee upfront) to see if they could find you a cheaper loan.
Is there no chance of the secured loan being added to your main mortgage?