Cahoot Flexible Loan

elliemoo

I have been with Cahoot for a number of years and I too have just received an email advising that my rate is going up from 5.8% to 8.9% from 28 June 2006.

Is there any point in complaining or have they got us where it hurts?

lynzpower

Im sure there must be some recourse under the consumer credit act for this. I cant believe the disparity in what rates people here are being charged.

Off for a nose around, will report back in bit

lynzpower

seems to contradict the banking code ( sorry cant copy as its a PDF)

Section- our key commitments to you:

When you have chosen an account or service we will give you clear info on how it works, the T&Cs and the interest rates that apply to it

Altohugh later on it says they will give 28 days notice to put up APRS.

As far a we are concerned, we are taking out business elsewhere. THe post office do a flexi loan, not sure on APR though. As fa as I believe there isnty much difference between a flexi loan and an overdraft, apart from the size

lynzpower

http://www.dti.gov.uk/consumers/Finance/consumer-credit-bill/FAQs/page24450.html

Im waiting for the FSA to call me back and to get some sort of advice on this
will report back in a bit when theyve called back :beer:

drpepper970

i borrowed 2k from cahoot in july last year, the rate was 11.5% but just got an email to say its going up to 13.9%. :-(

wacko911

Got a standard cut and paste reply when I complained to Cahoot:
Thank you for contacting cahoot in Coventry.

The cahoot Flexible Loan interest rates are variable and subject to change. cahoot has reviewed the Flexible Loan market, competitor rates and the costs of lending money. Changes in recent months have led us to increase rates.

cahoot continues to offer one of the most competitive flexible loans on the market. We constantly monitor our products to check that they remain competitive and we are confident that our Flexible Loan is extremely competitive.

The cahoot Flexible Loan has the added benefits that customers can borrow more, up to their limit, when they need to and repay more when they choose to without penalties. We hope you continue to make the most of the features the cahoot Flexible Loan offers.

Kind Regards,

Daniel Kerrigan
Who would you rather be in cahoots with?

Not you. ripp off merchants

lynzpower

Quite Wacko, Quite.

I have spoken with the FSA. Basically what they are saying is that is is trading standards that deal with this, and that I should speak with them. Although if there are legal issues in respect of the consumer credit act, etc, then at the complaints need to be levied to the FSA.

Confusing eh?

Im gonna call TS now and ill let you know how I go on

lynzpower

teabelly wrote:

I've had one of these for 2 months. Today they email me to say the interest rate is getting whacked up from 5.8% to 8.9%! I'm most disgusted with their behaviour. Their rubbish system hasn't let me set up a direct debit for the minimum amount properly. :mad:

They're not even giving me one month's notice either. The rate change takes effect from 28th June.

Oh Ok, you have recourse to complain to the FSA as this doesnt meet the banking rules I posted earlier.

The_Bug_1974

Would you expect anything less? They are a business and are profit orientated to be fair they have been good to me over the last 3 years, and my loan is now nearly paid off. So I will be cahoot free soon, although I still have savings with em!

lynzpower

I would expect any bank to operate within the law, and within its own banking code, yes.

I dont expect anything for nothing, but that wasnt the question you asked was it