Payment Holiday canceled by bank

vaughs

Hi everyone,

I have been through the forums and can't find anyone with my specific problem.

Last year I canceled my payment protection on my loan, because I was just removing my payment protection at every point I was led to believe that the conditions of my loan were exactly the same. One of theses conditions being that I had a break every January in which I didn't pay off my loan.

All simple.

January comes and I notice the day before my pay goes into my bank a direct debt is due to come out for my loan.

I contacted the bank immediately, which led to me having to take a day off work to go into speak to someone.

They have never seen it before and my payment holiday should have come over with the previous loan.

I have been in touch with HSBC daily about this, last night I was called up by someone at the branch to say that the several teams had now looked into it and it turns out that the agreement I signed did not include the omission of the number of months for every January having a payment break(I hope that makes sense).

Their resolution to me was to take out the loan again and include the January omission. This would in turn end up costing me more money.

For obvious reasons I'm not happy about this. I really shouldn't have to pay more for something that I had already agreed to.

Could anyone shed on what my rights are right here. I don't really want to end up paying more money but if that is the case then so be it.

I look forward to you responses.

50quidonRED

Have you seen or have a copy or the agreement you have signed? Hard to say anything as its 50/50

A. You signed the agreement with the break
B. "" "" without the break.

vaughs

I do have a copy of the signed loan agreement. It doesn't have the payment holiday on there, but I'm really not sure where it would appear on there. The agreement looks different to the ones I've signed previously.
I do appreciate that I should have checked all that I was signing but wasn't sure where it would be on the agreement. I didn't realise and was assured that the terms would be exactly the same.

50quidonRED

well if it isnt on the agreement you signed then i wouldnt take it any further, only my opinion but what evidence do you have to bring to them? you havent a leg to stand on as far as i can see.

ILW

vaughs wrote: »

Hi everyone,

I have been through the forums and can't find anyone with my specific problem.

Last year I canceled my payment protection on my loan, because I was just removing my payment protection at every point I was led to believe that the conditions of my loan were exactly the same. One of theses conditions being that I had a break every January in which I didn't pay off my loan.

All simple.

January comes and I notice the day before my pay goes into my bank a direct debt is due to come out for my loan.

I contacted the bank immediately, which led to me having to take a day off work to go into speak to someone.

They have never seen it before and my payment holiday should have come over with the previous loan.

I have been in touch with HSBC daily about this, last night I was called up by someone at the branch to say that the several teams had now looked into it and it turns out that the agreement I signed did not include the omission of the number of months for every January having a payment break(I hope that makes sense).

Their resolution to me was to take out the loan again and include the January omission. This would in turn end up costing me more money.

For obvious reasons I'm not happy about this. I really shouldn't have to pay more for something that I had already agreed to.

Could anyone shed on what my rights are right here. I don't really want to end up paying more money but if that is the case then so be it.

I look forward to you responses.

You will not end up paying any more, payments holidays keep on accruing interest.

vaughs

Hi,
Thanks for your replys.
I do think there is with because the bank has informed me that when you cancel pp. The conditions of the loan wont change.
Hi Ilw, my bank has told me that if I want these breaks put back on it will increase my monthly repayments.