I've done something really silly!

milliejon

westie666 wrote:

As far as i'm aware, the creditor has enetred into a Distance Selling Agreement, and as person to benifit from this is you have 7-14 days as a cooling off period.

IMHO ... CANCEL!!

Ah yes - but they called and left a message - I rang them back! Does this change the rules as I contacted them?

crazyscientist

milliejon wrote:

Ah yes - but they called and left a message - I rang them back! Does this change the rules as I contacted them?

NOPE you are still allowed a 'cooling off' period for all distance selling.

And you havent signed anything so you could always claim it was a very mature-sounding 3yr old on the phone hehe

milliejon

crazyscientist wrote:

And you havent signed anything so you could always claim it was a very mature-sounding 3yr old on the phone hehe

That's funny. The paperwork came through and I can cancel. However, the interest is only £183 on a £6k loan (I don't understand either). I figure I should go ahead cos it will give me peace of mind for the life of the loan.

Do you think this will work? I regularly contact my creditors to let them know of changes in my circumstances. I though that one way of getting round this situtation was to say that the company has fixed my payments. I don't think it will make a difference to the other creditors, cos the amount I'm paying is less than the pro-rata rate for my debts.

What do you think? I haven't signed yet but need to soon (or not!).

southernscouser

Is that £183 a month?

milliejon

southernscouser wrote:

Is that £183 a month?

No - for the life of the loan! I had to double check that.

southernscouser

What are the terms of the loan millie? That really doesn't sound right to me!

milliejon

I have a loan on arrangement with them currently. This is £6028.66 and I currently pay £102.11 per month which will take 5 years to pay off. They have offered to restructure my account and loan me enough to cover the first loan. This will incur £183.50 interest (at 1%) and the payments are £86.28 per month.

Therefore, my debt has only increased by £183.50 and saves me a couple of quid each month (which can go to my other debts).

Emmzi

Millie,

you should NOT proceed until you talk to the people doing your DMP or you are in breach of it, as far as I know.

Please contact them as soon as you can. I wouldn't want to see you in trouble! They may well agree with what you are doing, but you need to talk it through with them before your cooling off period ends!

milliejon

I've arranged my own DMP with my creditors - will this make a difference. The other creditors could now get more with this arrangement. I'm in a good job and have been for 15 years now, so I can't seen me not been able to pay more to the other creditors in the future.

Am I being naive?

southernscouser

milliejon wrote:

I have a loan on arrangement with them currently. This is £6028.66 and I currently pay £102.11 per month which will take 5 years to pay off. They have offered to restructure my account and loan me enough to cover the first loan. This will incur £183.50 interest (at 1%) and the payments are £86.28 per month.

Therefore, my debt has only increased by £183.50 and saves me a couple of quid each month (which can go to my other debts).

Sorry millie, just a couple of things!

On arrangement? What are the current terms of this? Interest rate?

It just concerns me why they are offering you this loan? Banks only offer you something if there is something in it for them!