Miss sold load

ratty6276

Hiya peeps,

new to the place, but was wondering if i could run something by you all.

i was accepted for a loan in January of this year from my local bank.

the payment is £290 for 5 years, and everything was going fine.

after a chat about trying to reduce my payments with the missus, i rang the bank and just sais hi i was wondering if there was anyway of making my payments a little smaller to help out cash flow.

on the phone the advisor said " yes of course ", yo uhave never missed a patment, and your a good customer.

so after speaking her for a while, she said pop into you local branch and they will sort it out for you.

i got there, and had a chat, the advisor said.......

we can refinance your loan back to 5 years and give you some money too, since you will be taking it for longer.

i thought great, and she then said the payment will be £220 is that ok ??

of course i thought great, less money out every month and a little cash for Xmax.

now the interesting part, she said im sorry we cannot do it, as you cannot afford to pay it !!!???

i said what do you mean, i can pay £290 at the minute, she said yeh but you cannot afford £220.

as you can imahine i was somewhat confused, i asked her to explain, she said that when your loan was ok'd, the guy that done your loan " who is no longer with the company i might add "

based the loan with your partners income too, even though it was a single application.

so i said ok well as long as it dont break any laws, could you do that again, she she no we cannot he shouldn't have done that in the first place.

so end result is i have a loan, which according to the bank i cannot afford to pay, according to thier affordability calculator.

where do i stand ???


i sent them a letter asking them to explain how it is that i cannot afford to pay £220 when im cleary paying £290 and am waiting for a response.

anyone think i have a case for mis-selling a loan to me

Thanks guys


Roland

Fonz_2

I can't quite work out which part you believe is the basis for mis-selling - are you able to clarify?

di3004

Hello and welcome.


May I ask if you taken out payment protection insurance (PPI) with the loan?

If so is there a possibility you mean the PPI was mis sold and not actually the loan?
Sorry if I have got this wrong, just making sure, as not everyone are aware about the mis selling of the PPI.

ratty6276

Hi of course i may be wrong, but they sold me the loan after asking about money in my account, he said i see you get £450 in your bank everymonth on top of you wages, what is that.

i said its my girlfriends half of the rent and bills etc.

he then said ok

but after speaking to the girl the other day she said, he should not have done that, becuase if he only done it on your salary you couldn't have afford the loan.

so i kind of left confused

Thanks for reply

Roland

ratty6276

i dont belive i have PPI

chambta

The bank's lending criteria may have changed. Your income may be different now.

The bank's affordability calculator is for their use and whilst it's relevant it probably won't take into consideration certain things; eg If you have a joint mortgage they may have to use the whole payment even if you only contribute a proportion of it. In other words just because you fail their affordability calculator it doesn't mean you can't afford it.

Perhaps the rules were bent by a previous member of staff but even if so it doesn't give you any grounds for complaint.

di3004

ratty6276 wrote: »

i dont belive i have PPI

Arh right okay.
If this was taken out the PPI would be shown on your agreement you signed, just thought I would mention it just in case.;)

ratty6276

Hi, my income has not changed since getting this loan, nothing has changed. other than that fact that according to the bank i cannot afford to pay £290, or £220 in that case.

i cease to understand how they can come up with thought process ??

Thanks for replies

Roland

chambta

ratty6276 wrote: »

Hi, my income has not changed since getting this loan, nothing has changed. other than that fact that according to the bank i cannot afford to pay £290, or £220 in that case.

i cease to understand how they can come up with thought process ??

Thanks for replies

Roland

It sounds like a member of staff bent the rules but that on it's own doesn't mean you can't afford it. However if you are having genuine difficulties increasing your borrowing, even with reduced payments, may not have been the answer. All banks will have a department outside the branch network that you can discuss any difficulties you're having.

ratty6276

ok thanks for info,


I shall wait to see what the bank says, the way i look at it is this.

if they can bend rules to " sell " me, and lets be honest thats what they're in the game to do,

they can " sell " me another way around it, if one of thier members bent the rules to make up his sales that month, they can deal with it since ultimatley the guy who sold it to me was acting on behalf of this company. so the fact that he has now "moved on", ie sacked.

here's to the letter and hoping the little people win for a change instead of banks

Thanks again for your input

Roland

malkie76

Lending criteria have changed dramatically. You haven't been misold anything.

Look at mortgages a few years back where (almost) anyone could get a 100% mortgage for >7x their salary. Now reality has returned and 75% mortgages around 3x salary are far more common.

Had you taken a 100% mortgage 5 years ago your lender would currently be honouring that mortgage. However, walk into a bank today and ask for a 100% mortgage and you'll be shown the door.