Small Firms Loan Guarantee

graham260967

I took out a small firm loan guarantee with my bank in 2002.

They sold the loan with the guarantee as I did not have anything to borrow against, this cost 2% per annum of the outstanding amount. Todate I have spent £3500 for this.
Also included in the loan was PPI insurance, todate with interest it stands at £12500.
It so happens that the loan has £14k outstanding and therefore I have now stop paying, for two reasons, 1-Miss-selling 2. My business stopped trading.

I have tried to negotiate with the bank, but they just stone wall me. They are now threatening debt collectors even though the loan was guaranteed.

I need to know the following, would I be able to reclaim miss-selling of the loan as I am totally lost as to what the £3.5k was for as I am sure I could have got my own insurance relating to cessation of trade.

This is the case with the PPI as I have now gone to the FOB .

I am angry that I was sold two insurance's neither which appear to cover me at a total cost of £16k, yet I am being chased for the debt.

Can anyone advise or help

di3004

graham260967 wrote: »

I took out a small firm loan guarantee with my bank in 2002.

They sold the loan with the guarantee as I did not have anything to borrow against, this cost 2% per annum of the outstanding amount. Todate I have spent £3500 for this.
Also included in the loan was PPI insurance, todate with interest it stands at £12500.
It so happens that the loan has £14k outstanding and therefore I have now stop paying, for two reasons, 1-Miss-selling 2. My business stopped trading.

I have tried to negotiate with the bank, but they just stone wall me. They are now threatening debt collectors even though the loan was guaranteed.

I need to know the following, would I be able to reclaim miss-selling of the loan as I am totally lost as to what the £3.5k was for as I am sure I could have got my own insurance relating to cessation of trade.

This is the case with the PPI as I have now gone to the FOB .

I am angry that I was sold two insurance's neither which appear to cover me at a total cost of £16k, yet I am being chased for the debt.

Can anyone advise or help

Hi there

Wishing you luck with this.

In regards of the company going down under, and in relation to PPI reclaiming, it may be worth checking if the business are registered with the financial compensation scheme (FSCS), cannot be sure for definate but ring the FSCS just to find out if so a ppi reclaim can be made through these, otherwise another way is to pursue through the actual insurer, check the details on your policy if you have these and you should find out the details of the insurer on them.
http://www.fscs.org.uk/contact-us/

You could however contact the Financial ombudsman service (FOS) to ask is there any way they can help you with this.
http://www.financial-ombudsman.org.uk/contact/index.html


I am not certain on how to deal with your other matters but hopefully someone on here will and post up with some advice for you.

Meanwhile hope all is resolved soon for you.;)

tiggrae

graham260967 wrote: »

I took out a small firm loan guarantee with my bank in 2002.

They sold the loan with the guarantee as I did not have anything to borrow against, this cost 2% per annum of the outstanding amount. Todate I have spent £3500 for this.
Also included in the loan was PPI insurance, todate with interest it stands at £12500.
It so happens that the loan has £14k outstanding and therefore I have now stop paying, for two reasons, 1-Miss-selling 2. My business stopped trading.

I have tried to negotiate with the bank, but they just stone wall me. They are now threatening debt collectors even though the loan was guaranteed.

I need to know the following, would I be able to reclaim miss-selling of the loan as I am totally lost as to what the £3.5k was for as I am sure I could have got my own insurance relating to cessation of trade.

This is the case with the PPI as I have now gone to the FOB .

I am angry that I was sold two insurance's neither which appear to cover me at a total cost of £16k, yet I am being chased for the debt.

Can anyone advise or help

have you tried to claim against this insurance - if your business has failed then they should be paying out against the monthly premiums.

Also, I'd ask for a copy of what the 'guarentee' you were paying for actually covered you for - was there a formal agreement?

In respect to reclaiming the PPI, were you a limited company, if so has the company still on the companies register?