Email from Cahoot re Flexi Loan

Badass

SeeSay wrote: »

I agree with you completely Badass. Let us know how you get on asking that. For me it wasn't too bad but I can imagine it's going to hurt a few people quite badly.

Will do SeeSay.

Also, thanks to all those for the supportive comments and ideas. This is a great forum! Thank you Bing!

MegandNicsmum

We have a Comet card (Santander) and when our limit was reduced we were told that because our limit had been set prior to their changes we would not be charged interest for a period (can't remember what it was) to allow us to clear the debt and bring it under the new limit..again there was no mention as to us being bad payers (it was a new account to cushion the purchase of a new tv, the majority of it had been paid in cash) they just wanted to appear as good credit providers!!!

Badass

Not good news. I received this back from Cahoot (pretty speedy all things considered).

Dear .....

Thank you for contacting cahoot in Coventry.

I sincerely apologise for any inconvenience or frustration the change has caused you.

Unfortunately we are unable to reinstate your limit (or increase it from its new limit).

This is due to cahoot no longer offering lending since 2006.

I'm sorry for not giving a more favourable response.

If you require any further assistance please don't hesitate to contact us on 0844 9000 900.

Kind regards,

.....

oscar52

Hardly suprising, but somewhat contradicts itself. "no longer offering credit since 2006"

Yet it has quite happily let you use the flexi loan as needed up to now - by offering credit.

patfla

I am very angry about the reckless attitude of Cahoot/Santander.
A flexible loan that started at 7% rising over a period of time to21.9%
A facility to borrow at this rate and then without any reason(no defaults,Late payments,prompt payer etc) the facility is withdrawn with a
balance owing AND most important like all other felxible loan account
holders a VARIABLE APR.
Any ideas if this is fair and correct practice
Many thanks

wbafanclub12

I feel that I do have to be fair to Cahoot/Santander, even tho from the posts so far my limit seems to have gone down the most. I did have a 13000 limit, which has now gone down to £2100, about £100 above my balance
When they started to raise the interest rates, speculation was high on this site and other sites regarding them removing their lending facility. That was a while ago now, and I am sure that most people saw it coming for some time.
Thankfully, they are not demanding the money back straight away but allowing us to pay the loan off at the previous rate. Unfortunately due to the rate of intersest that is more than the norm. But to be fair, I borrowed my balance from this account AFTER the interest hike so did know what I was getting into. I do have sympathy for those who had a big balance before the interest hike.
I may send off for a copy of my credit agreement for the hell of it. It will cost me a quid at most and I may get lucky as I had an early account

danthemoneysavingman

clarab wrote: »

Really what I want to do is any way of getting it on a better interest rate now its one redeeming feature has disapeared.

Im happy to be paying it back but the interest is crippling.

I see your current interest rate, and amount. Ow.
Any idea on the state of your credit file? (m)any missed payments recently or anything?

Wondering if it's possible to transfer to a life-of-balance credit card (as one possible option)

Spinawin

I tell you what these banks are taking the Michael.

How can it be right for Cahoot to offer a flexible loan product at a lowish interest rate, then jack the rate because it's product is so flexible and market leading, then pull the rug from everyone by saying its not flexible anymore but you are stuck with the rate.

And then have the gall to say tough luck.

Well Cahoot - that is not treating your customers fairly and I suggest anyone who has been caught out by this raise a formal complaint with Cahoot and then raise another one with the Ombudsman. I cannot believe this complies with the Consumer Credit Act either but I wait to be corrected on this.

I am going to give Cahoot some welly on this - not becasue I don't want to pay, but simply because they think they can shaft everyone. Cahhot, Santander, Abbey - whoever you guys think you are one thing we all know - Gibraltar will never fall to the Spanish!:mad::mad::mad::mad::mad:

patfla wrote: »

I am very angry about the reckless attitude of Cahoot/Santander.
A flexible loan that started at 7% rising over a period of time to21.9%
A facility to borrow at this rate and then without any reason(no defaults,Late payments,prompt payer etc) the facility is withdrawn with a
balance owing AND most important like all other felxible loan account
holders a VARIABLE APR.
Any ideas if this is fair and correct practice
Many thanks

clarab_3

danthemoneysavingman wrote: »

I see your current interest rate, and amount. Ow.
Any idea on the state of your credit file? (m)any missed payments recently or anything?

Wondering if it's possible to transfer to a life-of-balance credit card (as one possible option)

Unfortunately not. Ive come on in great strides in paying my debts off, but it will be another 3 years before I would have a healthy credit file to be able to transfer this away.

It looks like Im stuck with it. I can afford to pay, I'm just gutted to give them another penny to be honest.

cheredenine

Raking up an old thread, i know, but i have a flexible loan with Cahoot and have received a new email this morning...

Backgroup - i have a flexi-loan with a £9000 limit which had ben paid off until recently. The fiance and i moved house in november and borrowed against the loan to pay for moving costs, etc and are now paying it back as fast as we can. The first round of emails from Cahoot, regarding a cut in the credit limit, saw my limit drop to about £1500!

The latest email tells me that they'll shortly be stopping any online management facility - any changes to the account you want to make will have to be done by phone. So, step by step Santander take a flexible (albeit stupidly high interest rate) account and make it as inflexible as possible. Whats next? Manage the account by pigeon or semaphore?! Apparently the date of this change to phone support only will be announced soon...

I had planned to stop relying on the flexi-loan after my current balance is paid off anyway; looks like Santander is very eager to drop all its Cahoot customers like the proverbial hot potato, anyway, though. Odd business practice if you ask me...